otes to te stanalone nanal stateents or te ear ene ar 1 2017

Notes to the standalone financial statements for the year ended March 31, 2017

21st Annual Report - 2016-17 21st Annual Report - 2016-17260 261

GMR Infrastructure Limited GMR Infrastructure Limited

1 CORPORATE INFORMATION

GMR Infrastructure Limited (‘GIL’ or ‘the Company’) is a public limited Company domiciled in India. The registered office of the Company is located at Naman Centre, Bandra Kurla Complex, Mumbai, India. Its equity shares are listed on National Stock Exchange and Bombay Stock Exchange in India. The Company carries its business in the following business segments:

a. Engineering Procurement Construction (EPC)The Company is engaged in handling EPC solutions in the infrastructure sector.

b. OthersThe Company’s business also comprises of investment activity and corporate support to various infrastructure Special Purpose Vehicles (SPV).

Information on other related party relationships of the Company is provided in Note 33.

The standalone financial statements were approved by the Board of Directors and authorised for issue in accordance with a resolution of the directors on June 1, 2017.

The standalone financial statements comprise the financial statements of the Company and its controlled staff welfare trust. The Company is the sponsoring entity of staff welfare trusts. Based on the internal assessment by the management, it believes that the staff welfare trust is an extension arm of the Company.

2 SIGNIFICANT ACCOUNTING POLICIES

The significant accounting policies applied by the Company in the preparation of its financial statements are listed below. Such accounting policies have been applied consistently to all the periods presented in these financial statements and in preparing the opening Ind AS Balance Sheet as at April 1,2015 for the purpose of transition to Ind AS, unless otherwise indicated.

2.1. STATEMENT OF COMPLIANCE

In accordance with the notification issued by the Ministry of Corporate Affairs, the Company has adopted Indian Accounting Standards (referred to as “Ind AS”) notified under the Companies (Indian Accounting Standards) Rules, 2015 and Companies (Indian Accounting Standards) amendment Rules 2016, as amended with effect from April 1, 2016. The standalone financial statements of the Company, have been prepared and presented in accordance with Ind AS. Previous year numbers in the standalone financial statements have been restated to Ind AS. In accordance with Ind AS 101 First-time Adoption of Indian Accounting Standards, the Company has presented a reconciliation from the presentation of standalone financial statements under Accounting Standards notified under the Companies (Accounting Standards) Rules, 2006 (“Previous GAAP”) to Ind AS of Shareholders’ equity as at March 31, 2016 and April 1, 2015 and of the comprehensive net income for the year ended March 31, 2016 (refer note 40 for reconciliations and effect of transitions).

The standalone financial statements have been prepared on a historical cost basis, except for certain financial assets and liabilities (refer accounting policy regarding financial instruments) which have been measured at fair value.

The functional and presentation currency of the Company is Indian Rupee (“Rs”) which is the currency of the primary economic environment in which the Company operates.

2.2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

a Current versus non-current classification

The Company presents assets and liabilities in the standalone balance sheet based on current/ non-current classification. An asset is treated as current when it is:

i. Expected to be realised or intended to be sold or consumed in normal operating cycle,

ii. Held primarily for the purpose of trading,

iii. Expected to be realised within twelve months after the reporting period, or

iv. Cash or cash equivalent unless restricted from being exchanged or used to settle a liability for at least twelve months after the reporting period

All other assets are classified as non-current.

A liability is current when:

i. It is expected to be settled in normal operating cycle,

ii. It is held primarily for the purpose of trading,

iii. It is due to be settled within twelve months after the reporting period, or

iv. There is no unconditional right to defer the settlement of the liability for at least twelve months after the reporting period

All other liabilities are classified as non-current.




Deferred tax assets and liabilities are classified as non-current assets and liabilities.

Advance tax paid is classified as non-current assets.

The operating cycle is the time between the acquisition of assets for processing and their realisation in cash and cash equivalents. The Company has identified twelve months as its operating cycle.

b Fair value measurement of financial instruments

The Company measures financial instruments, such as, derivatives at fair value at each balance sheet date using valuation techniques.

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value measurement is based on the presumption that the transaction to sell the asset or transfer the liability takes place either:

a) In the principal market for the asset or liability, or

b) In the absence of a principal market, in the most advantageous market for the asset or liability

The principal or the most advantageous market must be accessible by the Company.

The fair value of an asset or a liability is measured using the assumptions that market participants would use when pricing the asset or liability, assuming that market participants act in their economic best interest.

A fair value measurement of a non-financial asset takes into account a market participant’s ability to generate economic benefits by using the asset in its highest and best use or by selling it to another market participant that would use the asset in its highest and best use.

The Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, maximising the use of relevant observable inputs and minimising the use of unobservable inputs.

All assets and liabilities for which fair value is measured or disclosed in the standalone financial statements are categorised within the fair value hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a whole:

Level 1 — Quoted (unadjusted) market prices in active markets for identical assets or liabilities

Level 2 — Valuation techniques for which the lowest level input that is significant to the fair value measurement is directly or indirectly observable

Level 3 — Valuation techniques for which the lowest level input that is significant to the fair value measurement is unobservable

For assets and liabilities that are recognised in the standalone financial statements on a recurring basis, the Company determines whether transfers have occurred between levels in the hierarchy by re-assessing categorisation (based on the lowest level input that is significant to the fair value measurement as a whole) at the end of each reporting period.

c Revenue recognition

Revenue is recognised to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured, regardless of when the payment is being made. Revenue is measured at the fair value of the consideration received or receivable, taking into account contractually defined terms of payment and excluding taxes or duties collected on behalf of the government. The Company has concluded that it is the principal in all of its revenue arrangements since it is the primary obligor in all the revenue arrangements as it has pricing latitude and is also exposed to inventory and credit risks.

The specific recognition criteria described below must also be met before revenue is recognised.

Revenue from construction activity

Construction revenue and costs are recognised by reference to the stage of completion of the construction activity at the balance sheet date, as measured by the proportion that contract costs incurred for work performed to date bear to the estimated total contract costs. Where the outcome of the construction cannot be estimated reliably, revenue is recognised to the extent of the construction costs incurred if it is probable that they will be recoverable. When the outcome of the contract is ascertained reliably, contract revenue is recognised at cost of work performed on the contract plus proportionate margin, using the percentage of completion method. Percentage of completion is the proportion of cost of work performed to-date, to the total estimated contract costs. The estimated outcome of a contract is considered reliable when all the following conditions are satisfied:

i. The amount of revenue can be measured reliably,

ii. It is probable that the economic benefits associated with the contract will flow to the Company,

iii. The stage of completion of the contract at the end of the reporting period can be measured reliably,

iv. The costs incurred or to be incurred in respect of the contract can be measured reliably

Provision is made for all losses incurred to the balance sheet date. Variations in contract work, claims and incentive payments are recognised to




the extent that it is probable that they will result in revenue and they are capable of being reliably measured. Expected loss, if any, on a contract is recognised as expense in the period in which it is foreseen, irrespective of the stage of completion of the contract. For contracts where progress billing exceeds the aggregate of contract costs incurred to-date and recognised profits (or recognised losses, as the case may be), the surplus is shown as the amount due to customers. Amount received before the related work is performed are disclosed in the Balance Sheet as a liability towards advance received. Amounts billed for work performed but yet to be paid by the customers are disclosed in the Balance Sheet as trade receivables.

Income from management/ technical services

Income from management/ technical services is recognised as per the terms of the agreement on the basis of services rendered.

Interest income

For all debt instruments measured either at amortised cost or at fair value through other comprehensive income, interest income is recorded using the effective interest rate (EIR). EIR is the rate that exactly discounts the estimated future cash payments or receipts over the expected life of the financial instrument or a shorter period, where appropriate, to the gross carrying amount of the financial asset or to the amortised cost of a financial liability. When calculating the effective interest rate, the Company estimates the expected cash flows by considering all the contractual terms of the financial instrument but does not consider the expected credit losses. Interest income is included in finance income in the statement of profit and loss.

Dividends

Dividend income is recognised when the Company’s right to receive the payment is established, which is generally when shareholders approve the dividend.

d Taxes on income

Current income tax

Tax expense for the year comprises current and deferred tax. The tax currently payable is based on taxable profit for the year. Taxable profit

differs from net profit as reported in the statement of profit and loss because it excludes items of income or expense that are taxable or deductible

in other years and it further excludes items that are never taxable or deductible. The Company’s liability for current tax is calculated using the tax

rates and tax laws that have been enacted or substantively enacted by the end of the reporting period.

Current income tax relating to items recognised outside profit or loss is recognised outside profit or loss (either in other comprehensive income

or in equity). Current tax items are recognised in correlation to the underlying transaction either in OCI or directly in equity. Management

periodically evaluates positions taken in the tax returns with respect to situations in which applicable tax regulations are subject to interpretation

and establishes provisions where appropriate.

Deferred income tax

Deferred tax is the tax expected to be payable or recoverable on differences between the carrying values of assets and liabilities in the financial

statements and the corresponding tax bases used in the computation of the taxable profit and is accounted for using the balance sheet liability

model. Deferred tax liabilities are generally recognised for all the taxable temporary differences. In contrast, deferred assets are only recognised

to the extent that is probable that future taxable profits will be available against which the temporary differences can be utilised.

Deferred income tax assets are recognized for all deductible temporary differences, carry forward of unused tax credits and unused tax losses,

to the extent that it is probable that taxable profit will be available against which the deductible temporary differences, and the carry forward of

unused tax credits and unused tax losses can be utilized.

The carrying amount of deferred income tax assets is reviewed at each balance sheet date and reduced to the extent that it is no longer probable

that sufficient taxable profit will be available to allow all or part of the deferred income tax asset to be utilized.

Deferred income tax assets and liabilities are measured at the tax rates that are expected to apply at the tax rates that are expected to apply in

the year when the asset is realized or the liability is settled, based on tax rates (and tax laws) that have been enacted or substantively enacted

at the balance sheet date.

Deferred tax relating to items recognised outside profit or loss is recognised outside profit or loss (either in other comprehensive income or in

equity). Deferred tax items are recognised in correlation to the underlying transaction either in OCI or directly in equity.

Deferred tax assets and deferred tax liabilities are offset if a legally enforceable right exists to set off current tax assets against current tax

liabilities and the deferred taxes relate to the same taxable entity and the same taxation authority.




Deferred tax assets include Minimum Alternative Tax (‘MAT’) paid in accordance with the tax laws in India, which is likely to give future economic

benefits in the form of availability of set off against future income tax liability. Accordingly, MAT is recognized as deferred tax asset in the balance

sheet when the asset can be measured reliably and it is probable that the future economic benefit associated with the asset will be realized.

e Non-current assets held for sale

The Company classifies non-current assets as held for sale if their carrying amounts will be recovered principally through a sale rather than

through continuing use. Actions required to complete the sale should indicate that it is unlikely that significant changes to the sale will be made

or that the decision to sell will be withdrawn. Management must be committed to the sale expected within one year from the date of classification.

The criteria for held for sale classification is regarded met only when the assets or disposal group is available for immediate sale in its present

condition, subject only to terms that are usual and customary for sales of such assets , its sale is highly probable; and it will genuinely be sold, not

abandoned. The Company treats sale of the asset to be highly probable when:

a) The appropriate level of management is committed to a plan to sell the asset,

b) An active programme to locate a buyer and complete the plan has been initiated,

c) The asset is being actively marketed for sale at a price that is reasonable in relation to its current fair value,

d) The sale is expected to qualify for recognition as a completed sale within one year from the date of classification , and

e) Actions required to complete the plan indicate that it is unlikely that significant changes to the plan will be made or that the plan will be

withdrawn.

Non-current assets held for sale are measured at the lower of their carrying amount and the fair value less costs to sell. Assets and liabilities

classified as held for sale are presented separately in the standalone balance sheet.

f Property, plant and equipment

On transition to Ind AS, the Company has elected to continue with the carrying value of all of its property, plant and equipment recognised as at

March 31, 2015 measured as per the previous GAAP and use that carrying value as the deemed cost of the property, plant and equipment as on

April 1, 2015.

Freehold land is carried at historical cost and is not depreciated. All other items of property, plant and equipment are stated at historical cost

less accumulated depreciation and accumulated impairment losses, if any. Historical cost includes expenditure that is directly attributable to the

acquisition of the items.

Subsequent costs are included in the asset’s carrying amount or recognised as a separate asset, as appropriate, only when it is probable that

future economic benefits associated with the item will flow to the Company and the cost of the item can be measured reliably. The carrying

amount of any component accounted for as a separate assets are derecognised when replaced. All other repairs and maintenance are charged to

profit and loss during the reporting period in which they are incurred.

The Company identifies and determines cost of each component/ part of the asset separately, if the component/ part has a cost which is

significant to the total cost of the asset having useful life that is materially different from that of the remaining asset. These components are

depreciated over their useful lives; the remaining asset is depreciated over the life of the principal asset.

Depreciation is calculated on a straight-line basis over the estimated useful lives of the assets as follows:

Category of asset* Estimated useful life

Plant and equipment 4 – 15 years*

Office equipment 5 years

Furniture and fixtures 10 years

Vehicles 8 – 10 years

Computers 3 years

Leasehold improvements are depreciated over the period of lease or estimated useful life, whichever is lower, on straight line basis.




*The Company, based on technical assessment made by the technical expert and management estimate, depreciates certain items of plant and

equipment over estimated useful lives which are different from the useful life prescribed in Schedule II to the Companies Act, 2013.

Further, the management has estimated the useful lives of asset individually costing Rs 5,000 or less to be less than one year, whichever is lower

than those indicated in Schedule II. The management believes that these estimated useful lives are realistic and reflect fair approximation of the

period over which the assets are likely to be used.

The residual values, useful lives and methods of depreciation of property, plant and equipment are reviewed at each financial year end and

adjusted prospectively, if appropriate.

An item of property, plant and equipment and any significant part initially recognised is derecognised upon disposal or when no future economic

benefits are expected from its use or disposal. Any gain or loss arising on derecognition of the asset (calculated as the difference between the net

disposal proceeds and the carrying amount of the asset) is included in the statement of profit and loss when the asset is derecognised.

g Intangible assets

Intangible assets acquired separately are measured on initial recognition at cost. Following initial recognition, intangible assets are carried at cost

less any accumulated amortisation and accumulated impairment losses, if any.

The useful lives of intangible assets are assessed as either finite or indefinite.

Intangible assets with finite lives are amortised over the useful economic life and assessed for impairment whenever there is an indication that

the intangible asset may be impaired. The amortisation period and the amortisation method for an intangible asset with a finite useful life are

reviewed at least at the end of each reporting period with the affect of any change in the estimate being accounted for on a prospective basis.

Changes in the expected useful life or the expected pattern of consumption of future economic benefits embodied in the asset are considered

to modify the amortisation period or method, as appropriate, and are treated as changes in accounting estimates. The amortisation expense on

intangible assets with finite lives is recognised in the statement of profit and loss unless such expenditure forms part of carrying value of another

asset.

Gains or losses arising from derecognition of an intangible asset are measured as the difference between the net disposal proceeds and the

carrying amount of the asset and are recognised in the statement of profit and loss when the asset is derecognised.

A summary of the policies applied to the Company’s intangible assets is, as follows:

Intangible assets Useful lives Amortisation method used Internally generated or acquired

Computer software Definite (6 years) Straight-line basis Acquired

h Borrowing cost

Borrowing costs consist of interest and other costs that an entity incurs in connection with the borrowing of funds. Borrowing cost also includes exchange differences to the extent regarded as an adjustment to the borrowing costs.

Borrowing costs directly attributable to the acquisition, construction or production of an asset that necessarily takes a substantial period of time to get ready for its intended use or sale are capitalised as part of the cost of the asset until such time as the assets are substantially ready for the intended use or sale. All other borrowing costs are expensed in the period in which they occur.

i Leases

The determination of whether an arrangement is (or contains) a lease is based on the substance of the arrangement at the inception of the lease. The arrangement is, or contains, a lease if fulfilment of the arrangement is dependent on the use of a specific asset or assets and the arrangement conveys a right to use the asset or assets, even if that right is not explicitly specified in an arrangement.

A lease is classified at the inception date as a finance lease or an operating lease.

For arrangements entered into prior to April 1, 2015, the Company has determined whether the arrangement contain lease on the basis of facts and circumstances existing on the date of transition.

Company as a lessee

A lease that transfers substantially all the risks and rewards incidental to ownership to the Company is classified as a finance lease.

A leased asset is depreciated over the useful life of the asset. However, if there is no reasonable certainty that the Company will obtain ownership by the end of the lease term, the asset is depreciated over the shorter of the estimated useful life of the asset and the lease term.




Finance leases are capitalised at the commencement of the lease at the inception date fair value of the leased asset or, at the present value of the minimum lease payments at the inception of the lease, whichever is lower. Lease payments are apportioned between finance charges and reduction of the lease liability so as to achieve a constant rate of interest on the remaining balance of the liability. Finance charges are recognised in finance costs in the statement of profit and loss, unless they are directly attributable to qualifying assets, in which case they are capitalized in accordance with the Company’s general policy on the borrowing costs.

Operating lease payments are recognised as an expense in the statement of profit and loss on a straight-line basis over the lease term unless either:

a. another systematic basis is more representative of the time pattern of the user’s benefit even if the payments to the lessors are not on that basis; or

b. the payments to the lessor are structured to increase in line with expected general inflation to compensate for the lessor’s expected inflationary cost increases. If payments to the lessor vary because of factors other than general inflation, then this condition is not met.

j Inventories

Raw materials, components, stores and spares are valued at lower of cost and net realisable value. However, materials and other items held for

use in the production of inventories are not written down below cost if the finished products in which they will be incorporated are expected to be

sold at or above cost. Cost of raw materials, components and stores and spares is determined on a weighted average basis.

Net realisable value is the estimated selling price in the ordinary course of business, less estimated costs of completion and the estimated costs

necessary to make the sale.

Costs incurred that relate to future activities on the contract are recognised as “Contract work in progress”.

Contract work in progress comprising construction costs and other directly attributable overheads is valued at lower of cost and net realisable

value.

k. Impairment of non-financial assets

As at the end of each accounting year, the company reviews the carrying amounts of its PPE, investment property, intangible assets and

investments in subsidiary, associate and joint venture companies to determine whether there is any indication that those assets have suffered an

impairment loss. If such indication exists, the said assets are tested for impairment so as to determine the impairment loss, if any. Goodwill and

the intangible assets with indefinite life are tested for impairment each year.

Impairment loss is recognised when the carrying amount of an asset exceeds its recoverable amount. Recoverable amount is determined:

(i) in the case of an individual asset, at the higher of the net selling price and the value in use; and

(ii) in the case of a cash generating unit (a group of assets that generates identified, independent cash flows), at the higher of the cash

generating unit’s net selling price and the value in use.

(The amount of value in use is determined as the present value of estimated future cash flows from the continuing use of an asset and from its

disposal at the end of its useful life. For this purpose, the discount rate (pre-tax) is determined based on the weighted average cost of capital of

the company suitably adjusted for risks specified to the estimated cash flows of the asset).

For this purpose, a cash generating unit is ascertained as the smallest identifiable group of assets that generates cash inflows that are largely

independent of the cash inflows from other assets or groups of assets.

If recoverable amount of an asset (or cash generating unit) is estimated to be less than its carrying amount, such deficit is recognised immediately

in the Statement of Profit and Loss as impairment loss and the carrying amount of the asset (or cash generating unit) is reduced to its recoverable

amount.

When an impairment loss subsequently reverses, the carrying amount of the asset (or cash generating unit) is increased to the revised estimate

of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had

no impairment loss is recognised for the asset (or cash generating unit) in prior years. A reversal of an impairment loss is recognised immediately

in the Statement of Profit and Loss




l. Provisions and contingent liabilities

Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a past event, it is probable that

an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the

amount of the obligation. When the Company expects some or all of a provision to be reimbursed, for example, under an insurance contract, the

reimbursement is recognised as a separate asset, but only when the reimbursement is virtually certain. The expense relating to a provision is

presented in the statement of profit and loss net of any reimbursement.

If the effect of the time value of money is material, provisions are discounted using a current pre-tax rate that reflects, when appropriate, the

risks specific to the liability. When discounting is used, the increase in the provision due to the passage of time is recognised as a finance cost.

A provision for onerous contracts is recognised when the expected benefits to be derived by the Company from a contract are lower than the

unavoidable cost of meeting its obligations under the contract. The provision is measured at the present value of the lower of the expected cost

of terminating the contract and the expected net cost of continuing with the contract. Before a provision is established, the Company recognises

any impairment loss on the assets associated with that contract.

A contingent liability is a possible obligation that arises from past events whose existence will be confirmed by the occurrence or non-occurrence

of one or more uncertain future events beyond the control of the Company or a present obligation that is not recognized because it is not probable

that an outflow of resources will be required to settle the obligation. A contingent liability also arises in extremely rare cases where there is a

liability that cannot be recognized because it cannot be measured reliably. The Company does not recognize a contingent liability but discloses its

existence in the standalone financial statements.

Provisions and contingent liability are reviewed at each balance sheet.

m. Retirement and other employee benefits

Retirement benefit in the form of provident fund, pension fund and superannuation fund are defined contribution scheme. The Company has no

obligation, other than the contribution payable. The Company recognizes contribution payable to provident fund, pension fund and superannuation

fund as expenditure, when an employee renders the related service. If the contribution payable to the scheme for service received before the

balance sheet reporting date exceeds the contribution already paid, the deficit payable to the scheme is recognized as a liability after deducting

the contribution already paid. If the contribution already paid exceeds the contribution due for services received before the balance sheet date,

then excess is recognized as an asset to the extent that the pre-payment will lead to, for example, a reduction in future payment or a cash refund.

Accumulated leave, which is expected to be utilized within the next twelve months, is treated as short-term employee benefit. The Company

measures the expected cost of such absences as the additional amount that it expects to pay as a result of the unused entitlement that has

accumulated at the reporting date.

The Company treats accumulated leave expected to be carried forward beyond twelve months, as long-term employee benefit for measurement

purposes. Such long-term compensated absences are provided for based on the actuarial valuation using the projected unit credit method at the

year-end.

The Company presents the leave as a current liability in the standalone balance sheet, to the extent it does not have an unconditional right to

defer its settlement for twelve months after the reporting date.

The cost of providing benefits under the defined benefit plan is determined using the projected unit credit method using actuarial valuation to be

carried out at each balance sheet date

In case of funded plans, the fair value of the plan assets is reduced from the gross obligation under the defined benefit plans to recognise the

obligation on a net basis.

Re-measurements, comprising of actuarial gains and losses, the effect of the asset ceiling, excluding amounts included in net interest on the

net defined benefit liability and the return on plan assets (excluding amounts included in net interest on the net defined benefit liability), are

recognised immediately in the standalone balance sheet with a corresponding debit or credit to retained earnings through OCI in the period in

which they occur. Re-measurements are not reclassified to profit or loss in subsequent periods.




Past service costs are recognised in profit or loss on the earlier of:

a. The date of the plan amendment or curtailment, and

b. The date that the Company recognises related restructuring costs

Net interest is calculated by applying the discount rate to the net defined benefit liability or asset. The Company recognises the following changes

in the net defined benefit obligation as an expense in the statement of profit and loss:

a. Service costs comprising current service costs, past-service costs, gains and losses on curtailments and non-routine settlements; and

b. Net interest expense or income.

n. Financial instruments

Financial assets and financial liabilities are recognised when the Company becomes a party to the contract embodying the related financial

instruments. All financial assets, financial liabilities and financial guarantee contracts are initially measured at transaction cost and where such

values are different from the fair value, at fair value. Transaction costs that are directly attributable to the acquisition or issue of financial assets

and financial liabilities (other than financial assets and financial liabilities at fair value through profit and loss) are added to or deducted from

the fair value measured on initial recognitionof financial asset or financial liability. Transaction costs directly attributable to the acquisition of

financial assets and financial liabilities at fair value through profit and loss are immediately recognised in the statement of profit and loss. In case

of interest free or concession loans/debentures/preference shares given to subsidiaries, associates and joint ventures, the excess of the actual

amount of the loan over initial measure at fair value is accounted as an equity investment.

Investment in equity instruments issued by subsidiaries, associates and joint ventures are measured at cost less impairment.

Investment in preference shares/debentures of the subsidiaries are treated as equity instruments if the same are convertible into equity shares

or are redeemable out of the proceeds of equity instruments issued for the purpose of redemption of such investments. Investment in preference

shares/debentures not meeting the aforesaid conditions are classified as debt instruments at amortised cost.

Effective interest method

The effective interest method is a method of calculating the amortised cost of a financial instrument and of allocating interest income or expense

over the relevant period. The effective interest rate is the rate that exactly discounts future cash receipts or payments through the expected life

of the financial instrument, or where appropriate, a shorter period.

(a) Financial assets

Financial assets at amortised cost

Financial assets are subsequently measured at amortised cost if these financial assets are held within a business model whose objective is to hold

these assets in order to collect contractual cash flows and the contractual terms of the financial asset give rise on specified dates to cash flows

that are solely payments of principal and interest on the principal amount outstanding.

Financial assets measured at fair value

Financial assets are measured at fair value through other comprehensive income if these financial assets are held within a business model whose

objective is to hold these assets in order to collect contractual cash flows or to sell these financial assets and the contractual terms of the financial

asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding. The

Company in respect of equity investments (other than in subsidiaries, associates and joint ventures) which are not held for trading has made an

irrevocable election to present in other comprehensive income subsequent changes in the fair value of such equity instruments. Such an election

is made by the Company on an instrument by instrument basis at the time of initial recognition of such equity investments.

Financial asset not measured at amortised cost or at fair value through other comprehensive income is carried at fair value through the statement

of profit and loss.

For financial assets maturing within one year from the balance sheet date, the carrying amounts approximate fair value due to the shorter

maturity of these instruments.

Impairment of financial assets

Loss allowance for expected credit losses is recognised for financial assets measured at amortised cost and fair value through the statement of

profit of loss.




The company recognises impairment loss on trade receivables using expected credit loss model, which involves use of provision matrix constructed

on the basis of historical credit loss experience as permitted under Ind AS 109 – Impairment loss on investments.

For financial assets whose credit risk has not significantly increased since initial recognition, loss allowance equal to twelve months expected

credit losses is recognised. Loss allowance equal to the lifetime expected credit losses is recognised if the credit risk on the financial instruments

has significantly increased since initial recognition.

De-recognition of financial assets

The Company de-recognises a financial asset only when the contractual rights to the cash flows from the financial asset expire, or it transfers the

financial asset and the transfer qualifies for de-recognition under Ind AS 109.

If the Company neither transfers nor retains substantially all the risks and rewards of ownership and continues to control the transferred asset,

the Company recognises its retained interest in the assets and an associated liability for amounts it may have to pay.

If the Company retains substantially all the risks and rewards of ownership of a transferred financial asset, the Company continues to recognise

the financial asset and also recognises a collateralised borrowing for the proceeds received.

On de-recognition of a financial asset in its entirety, the difference between the carrying amount measured at the date of de-recognition and the

consideration received is recognised in statement of profit or loss.

(b) Financial liabilities and equity instruments

Classification as debt or equity

Financial liabilities and equity instruments issued by the Company are classified according to the substance of the contractual arrangements

entered into and the definitions of a financial liability and an equity instrument.

Equity Instruments

An equity instrument is any contract that evidences a residual interest in the assets of the Company after deducting all of its liabilities. Equity

instruments are recorded at the proceeds received, net of direct issue costs.

Financial Liabilities

Financial liabilities are initially measured at fair value, net of transaction costs, and are subsequently measured at amortised cost, using the effective

interest rate method where the time value of money is significant. Interest bearing bank loans, overdrafts and issued debt are initially measured at fair

value and are subsequently measured at amortised cost using the effective interest rate method. Any difference between the proceeds (net of transaction

costs) and the settlement or redemption of borrowings is recognised over the term of the borrowings in the statement of profit and loss.

For trade and other payables maturing within one year from the balance sheet date, the carrying amounts approximate fair value due to the short

maturity of these instruments.

a. Financial guarantee contracts

Financial guarantee contracts issued by the Company are those contracts that require a payment to be made to reimburse the holder for a loss

it incurs because the specified debtor fails to make a payment when due in accordance with the terms of a debt instrument. Financial guarantee

contracts are recognised initially as a liability at fair value, adjusted for transaction costs that are directly attributable to the issuance of the guarantee.

b. De-recognition

A financial liability is derecognised when the obligation under the liability is discharged or cancelled or expires. When an existing financial liability

is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such

an exchange or modification is treated as the de-recognition of the original liability and the recognition of a new liability. The difference in the

respective carrying amounts is recognised in the statement of profit and loss.

Off-setting of financial instruments

Financial assets and financial liabilities are offset and the net amount is reported in the standalone balance sheet if there is a currently enforceable

legal right to offset the recognised amounts and there is an intention to settle on a net basis, to realise the assets and settle the liabilities

simultaneously.




o. Derivative financial instruments

The Company uses derivative financial instruments, such as forward currency contracts to hedge its foreign currency risks. Such derivative financial instruments are initially recognised at fair value on the date on which a derivative contract is entered into and are subsequently re-measured at fair value. Derivatives are carried as financial assets when the fair value is positive and as financial liabilities when the fair value is negative.

p. Convertible preference shares/debentures

Convertible preference shares/debentures are separated into liability and equity components based on the terms of the contract.

On issuance of the convertible preference shares/debentures, the fair value of the liability component is determined using a market rate for an equivalent non-convertible instrument. This amount is classified as a financial liability measured at amortised cost (net of transaction costs) until it is extinguished on conversion or redemption.

The remainder of the proceeds is allocated to the conversion option that is recognised and included in equity since conversion option meets Ind AS 32 criteria for conversion right. Transaction costs are deducted from equity, net of associated income tax. The carrying amount of the conversion option is not re-measured in subsequent years.

Transaction costs are apportioned between the liability and equity components of the convertible preference shares/debentures based on the allocation of proceeds to the liability and equity components when the instruments are initially recognised.

q. Cash and cash equivalents

Cash and cash equivalent in the standalone balance sheet comprise cash at banks and on hand and short-term deposits with an original maturity of three months or less, which are subject to an insignificant risk of changes in value.

For the purpose of the statement of cash flows, cash and cash equivalents consist of cash and short-term deposits, as defined above, net of outstanding bank overdrafts as they are considered an integral part of the Company’s cash management.

r. Cash dividend

The Company recognises a liability to make cash distributions to equity holders of the Company when the distribution is authorised and the distribution is no longer at the discretion of the Company. Final dividends on shares are recorded as a liability on the date of approval by the shareholders and interim dividends are recorded as a liability on the date of declaration by the Company’s Board of Directors.

s. Foreign currencies

In preparing the financial statements, transactions in the currencies other than the Company’s functional currency are recorded at the rates of exchange prevailing on the date of transaction. At the end of each reporting period, monetary items denominated in the foreign currencies are re-translated at the rates prevailing at the end of the reporting period. Non-monetary items carried at fair value that are denominated in foreign currencies are retranslated at the rates prevailing on the date when the fair value was determined. Non-monetary items are measured in terms of historical cost in a foreign currency are not retranslated.

Exchange differences arising on translation of long term foreign currency monetary items recognised in the financial statements before the beginning of the first Ind AS financial reporting period in respect of which the Company has elected to recognise such exchange differences in equity or as part of cost of assets as allowed under Ind AS 101-“First time adoption of Indian Accounting Standard” are recognised directly in equity or added/ deducted to/ from the cost of assets as the case may be. Such exchange differences recognised in equity or as part of cost of assets is recognised in the statement of profit and loss on a systematic basis.

Exchange differences arising on the retranslation or settlement of other monetary items are included in the statement of profit and loss for the period.

t. Treasury shares

The Company has created a Staff welfare Trust (‘SWT’) for providing staff welfare to its employees. The Company treats SWT as its extension and shares held by SWT are treated as treasury shares. Own equity instruments that are reacquired (treasury shares) are recognised at cost and deducted from equity. No gain or loss is recognised in profit or loss on the purchase, sale, issue or cancellation of the Company’s own equity instruments. Any difference between the carrying amount and the consideration, if reissued, is recognised in capital reserve.

u. Corporate social responsibility (‘CSR’) expenditure

The Company charges its CSR expenditure during the year to the statement of profit and loss.

v. Interest in Joint Operations

In respect of its interests in joint operations, the Company recognises its share in assets, liabilities, income and expenes line by line in the standalone Ind AS financial statements of the entities which is party to such joint arrangement. Interests in joint operations are included in the

segments to which they relate.




3. Property, plant and equipment (` in crore)

Particulars Freehold

land Leasehold

improvements Plant and equipment

Furniture and fixtures

Office equipment

Vehicles Computers Total

Deemed Cost

As at April 01, 2015 0.08 0.28 70.26 1.58 3.27 4.35 0.47 80.29

Additions - 0.06 3.95 0.82 0.74 0.58 1.42 7.57

Disposals - - - - - 0.15 - 0.15

As at March 31, 2016 0.08 0.34 74.21 2.40 4.01 4.78 1.89 87.71

Additions - - 7.23 0.97 1.17 0.32 0.59 10.28

Disposals - - - - - 0.15 0.01 0.16

As at March 31, 2017 0.08 0.34 81.44 3.37 5.18 4.95 2.47 97.83

Depreciation

As at April 01, 2015 - - - - - - - -

Charge for the year - 0.11 11.03 0.49 1.80 1.08 0.29 14.80

Disposals - - - - - 0.10 - 0.10

As at March 31, 2016 - 0.11 11.03 0.49 1.80 0.98 0.29 14.70

Charge for the year - 0.12 10.93 0.46 1.66 1.02 0.70 14.89

Disposals - - - - - 0.11 0.01 0.12

As at March 31, 2017 - 0.23 21.96 0.95 3.46 1.89 0.98 29.47

Net block

As at March 31, 2017 0.08 0.11 59.48 2.42 1.72 3.06 1.49 68.36

As at March 31, 2016 0.08 0.23 63.18 1.91 2.21 3.80 1.60 73.01

As at April 1, 2015 0.08 0.28 70.26 1.58 3.27 4.35 0.47 80.29

Ind AS 101 exemption: The Company has availed the exemption available under Ind AS 101, whereas the carrying value of Property, plant and equipment and Intangible assets under the previous GAAP has been carried forward as the costs under Ind AS. Information regarding gross block of assets, accumulated depreciation has been disclosed by the Company separately as follows:

(` in crore)

Particulars Freehold land

Leasehold improvements

Plant and equipment

Furniture and fixtures

Office equipment

Vehicles Computers Total

As at April 1, 2015

Gross Block 0.08 0.29 103.79 3.17 9.14 7.58 8.90 132.95

Less: Accumulated Depreciation - 0.01 33.53 1.59 5.87 3.23 8.43 52.66

Net book value as per previous GAAP

0.08 0.28 70.26 1.58 3.27 4.35 0.47 80.29

Deemed cost as on April 1, 2015 0.08 0.28 70.26 1.58 3.27 4.35 0.47 80.29

(This space has been intentionally left blank)




4. Other Intangible assets

(` in crore)

Particulars Computer Software Total

Deemed Cost

As at April 01, 2015 2.99 2.99

Additions 0.75 0.75

As at March 31, 2016 3.74 3.74

Additions 1.58 1.58

As at March 31, 2017 5.32 5.32

Amortisation

As at April 01, 2015 - -

Charge for the year 0.97 0.97

As at March 31, 2016 0.97 0.97

Charge for the year 1.24 1.24

As at March 31, 2017 2.21 2.21

Net block

As at March 31, 2017 3.11 3.11

As at March 31, 2016 2.77 2.77

As at April 01, 2015 2.99 2.99

Ind AS 101 exemption: The Company has availed the exemption available under Ind AS 101, whereas the carrying value of Property, plant and equipment and Intangible assets under the previous GAAP has been carried forward as the costs under Ind AS. Information regarding gross block of assets, accumulated depreciation has been disclosed by the Company separately as follows:

(` in crore)

Particulars Computer Software

As at April 1, 2015

Gross Block 6.35

Less: Accumulated Amortisation 3.36

Net book value as per previous GAAP 2.99

Deemed cost as on April 1, 2015 2.99

(This space has been intentionally left blank)




5. Financial assets - Investments

(` in crore)

ParticularsNon-current Current

March 31, 2017 March 31, 2016 April 01, 2015 March 31, 2017 March 31, 2016 April 01, 2015

A. Investments carried at cost

Unquoted equity shares

i. Subsidiary companies

- Domestic Companies

GMR Hyderabad International Airport Limited (‘GHIAL’)

0.00 0.00 0.00 - - -

[1,000 (March 31, 2016: 1,000 and April 1, 2015: 1000) equity shares of ` 10 each] [` 10,000 (March 31, 2016: ` 10,000 and April 1, 2015: 10,000)]

GMR Pochanpalli Expressways Limited (‘GPEL’) 2.07 2.07 2.07 - - -

[2,070,000 (March 31, 2016: 2,070,000 and April 1, 2015: 2,070,000) equity shares of ` 10 each]

GMR Ambala Chandigarh Expressways Private Limited (‘GACEPL’)1,6,9 47.49 47.49 47.49 - - -


Delhi International Airport Private Limited (‘DIAL’)

0.00 0.00 0.00 - - -

[200 (March 31, 2016: 200 and April 1, 2015: 200)

equity shares of ` 10 each] [` 2,000 (March 31, 2016: ` 2,000 and April 1, 2015: ` 2,000)]

GMR (Badrinath) Hydro Power Generation Private Limited (‘GBHPL’)2,10 - 0.00 0.00 - - -

[Nil (March 31, 2016: 4,900 and April 1, 2015: 4,900) equity shares of ` 10 each] [Nil (March 31, 2016: ` 49,000 and April 1, 2015: 49,000)]

GMR Airports Limited (‘GAL’)1,12 691.11 691.11 691.11 - - -

[350,869,304 (March 31, 2016: 350,869,304 and April 1, 2015: 350,869,304) equity shares ` 10 each]

GMR Aviation Private Limited (‘GAPL’)14 244.08 86.44 86.44 - - -


Gateways for India Airports Private Limited (‘GFIAL’)

0.01 0.01 0.01 - - -

[8,649 (March 31, 2016: 8,649 and April 1, 2015: 8,649) equity shares of ` 10 each]

GMR Krishnagiri SEZ Limited (‘GKSEZ’) 117.50 117.50 117.50 - - -


GMR Highways Limited (‘GMRHL’)1,6,9,13,16 1,852.93 20.00 20.00 - - -

[1,852,929,746 (March 31, 2016: 19,999,997 and April 1, 2015: 20,000,000) equity shares of ` 10 each]




5. Financial assets - Investments (Contd.)

(` in crore)

Particulars Non-current Current


GMR Hyderabad Vijayawada Expressways Private Limited (‘GHVEPL’)9

2.05 2.05 2.05 - - -

[2,050,000 (March 31, 2016: 2,050,000 and April 1, 2015: 2,050,000) equity shares of ` 10

GMR Corporate Affairs Private Limited ('GCAPL') 5.00 5.00 5.00 - - -

[4,999,900 (March 31, 2016: 4,999,900 April 1, 2015: 4,999,900) equity shares of ` 10 each]

GMR Chennai Outer Ring Road Private Limited (‘GCORRPL’)1,9 12.30 12.30 12.30 - - -


GMR Energy Trading Limited (‘GETL’) 50.22 50.22 50.22 - - -


Dhruvi Securities Private Limited (‘DSPL’) 199.70 199.70 199.70 - - -


GMR Generation Assets Limited (‘GGAL’) (formerly known as GMR Renewable Energy Limited (‘GREEL’))1,2,4,7,8

6,172.75 0.50 0.50 - - -

[6,172,750,426 (March 31, 2016: 500,000 and April 1, 2015: 500,000) equity shares of ` 10 each]

GMR Power Infra Limited (‘GPIL’) 0.85 0.85 0.85 - - -

[849,490 (March 31, 2016: 849,490 and April 1, 2015: 849,490) equity shares of ` 10 each]

GMR Kishangarh Udaipur Ahmedabad Expressways Limited (‘GKUAEL’)9

5.05 5.05 5.05 - - -


GEL1,2,4,7,10,18,19 - 1,476.46 1,476.46 - - -

[Nil (March 31, 2016: 536,894,545 and April 1, 2015: 536,894,545) equity shares of ` 10 each]

GMR Infra Developers Limited (‘GIDL’) 0.05 - - - - -

[49,994 (March 31, 2016: Nil and April 1, 2015: Nil) equity shares of ` 10 each fully paid-up]

GMR Aerostructure Service Limited (‘GASL’) ( formerly known as GMR Hyderabad Airport Resource Management Limited ( ‘GHARML’)

0.00 - - - - -

[50,000 (March 31, 2016: Nil and April 1, 2015: Nil) equity shares of ` 10 each]

9,403.16 2,716.75 2,716.75 - - -




- Body Corporates

GMR Energy (Mauritius) Limited (‘GEML’)2,4 0.00 0.00 0.00 - - -

[5 (March 31, 2016: 5 and April 1, 2015: 5) equity share of USD 1 each] [` 202 (March 31, 2016: ` 202 and April 1, 2015: 202)]

GMR Infrastructure (Mauritius) Limited (‘GIML’)5,11,17 1,477.99 1,477.99 1,477.99 - - -

[320,550,001 (March 31, 2016: 320,550,001 and April 1, 2015: 320,550,001) equity share of USD 1 each]

GMR Coal Resources Pte Limited (‘GCRPL’)11 0.11 0.11 0.11 - - -

[30,000 (March 31, 2016: 30,000 and April 1, 2015: 30,000) equity share of SGD 1 each]

GMR Male International Airport Private Limited (‘GMIAL’)5

0.00 0.00 0.00 - - -

[154 (March 31, 2016: 154 and April 1, 2015: 154) equity share of Mrf 10 each] [` 4,917 (March 31, 2016: ` 4,917 and April 1, 2015: ` 4,917)]

GMR Infrastructure (Overseas) Limited (‘GIOL’)11 0.00 0.00 0.00 - - -

[100 (March 31, 2016: 100 and April 1, 2015: 100] equity shares of USD 1 each] [` 4,903 (March 31, 2016: ` 4,903 and April 1, 2015: 4,903)]

1,478.10 1,478.10 1,478.10 - - -

ii. Associate companies

Fully paid equity shares

Jadcherla Expressways Private Limited (‘JEPL’) (formerly known as GMR Jadcherla Expressways Limited (GJEPL))9

- 1.77 1.77 - - -

[Nil (March 31, 2016: 1,767,375 and April 1, 2015: 1,767,375) equity shares of ` 10 each]

Ulundurpet Expressways Private Limited (‘UEPL’) (formerly known as GMR Ulundurpet Expressways Private Limited (GUEPL))9,16

- 0.99 2.98 - 1.99 -

[Nil (March 31, 2016: 2,981,250 and April 1, 2015: 2,981,250) equity shares of `10 each fully paid-up]

- 2.76 4.75 - 1.99 -

iii. Joint ventures

GMR Megawide CEBU Airport Corporation (‘GMCAC’)1

12.03 12.03 1.37 - - -

[88,405,234 (March 31, 2016: 88,405,234 and April 1, 2015: 10,000,000) equity shares of PHP 1 each]

GEL1,2,4,7,10,18,19 1,476.46 - - - - -

[536,894,545 (March 31, 2016: Nil and April 1, 2015: Nil) equity shares of ` 10 each]

GMR (Badrinath) Hydro Power Generation Private Limited (‘GBHPL’)2,10 0.00 - - - - -


(` in crore)






[4,900 (March 31, 2016: Nil and April 1, 2015: Nil) equity shares of ` 10 each] [` 49,000 (March 31, 2016: ` Nil and April 1, 2015: Nil)]

GMR OSE Hungund Hospet Highways Private Limited (‘GOSEHHHPL’)1,9,13 - - 59.80 59.80 59.80 -


Less: Provision for diminution in value of investments

- - - (29.65) (29.65)

30.15 30.15 -

Less: Investments classified as held for sale - - - (30.15) (30.15) -

B. Investments carried at deemed cost

Unquoted equity shares

i. Subsidiary companies

GMR SEZ & Port Holdings Private Limited (‘GSPHPL’)15 782.69 782.69 782.69 - - -


- - -

2,271.18 794.72 843.86

Investment in additional equity of subsidiaries

GMRHL6,9,13.16 401.32 881.17 672.85 - - -

GCAPL 16.25 16.25 16.25 - - -

GSPHPL15 62.39 167.95 167.95 - - -

GACEPL6 4.73 20.43 20.43 - - -

GCORRPL9 33.85 33.85 33.85 - - -

GHVEPL9 61.32 61.32 61.32 - - -

GKUAEL9 1.69 1.69 1.69 - - -

GPEL9 36.21 36.21 36.21 - - -

GGAL2,4,7,8 304.64 1,805.22 1,805.22 - - -

DSPL 147.62 147.62 147.62 - - -

DPPL 1.13 1.13 1.13 - - -

ATSCL4 - 0.16 0.16 - - -

DIAL 5.72 5.72 5.72 - - -

GWEL2,4 - 9.29 5.42 - - -

GENBV 2.65 2.65 2.65 - - -

GADL5 1.07 1.07 1.07 - - -

GAPL14 4.16 2.05 2.05 - - -

GBHHPPL2,4 - 6.52 6.52 - - -

GCRPL11 40.68 29.14 29.14 - - -

GEL2,4,7,10,18,19 - 24.42 24.42 - - -

GETL 0.44 0.37 0.37 - - -

GGSPPL2,4 - 0.61 0.61 - - -

GHIAL 19.55 19.55 19.55 - - -

GIML5,11,17 13.18 13.18 13.18 - - -

GISPL 5.66 5.45 5.28 - - -

GMCAC 2.87 2.87 2.87 - - -

GPCL4 1.34 1.34 1.34 - - -


(` in crore)






GMIAL5,11 13.02 13.02 13.02 - - -

MTSCL4 - 0.94 0.94 - - -

PT BSL 3.37 3.37 3.21 - - -

GTTEPL9 16.22 28.26 28.26 - - -

GTAEPL9 12.20 21.84 21.84 - - -

GCHEPL8 - 14.26 14.26 - - -

GAL12 6.92 6.92 6.92 - - -

PPPL 0.03 0.03 - - - -

RSSL 0.92 0.06 - - - -

KSPL 3.22 3.22 2.26 - - -

GPIL 2.11 2.11 2.11 - - -

1,226.48 3,391.26 3,177.69

Investment in additional equity of associates

GJEPL9 - 1.85 1.85 - - -

GUEPL9,16 - 0.83 0.83 - - -

- 2.68 2.68

Investment in additional equity of joint ventures

GOSEHHHPL9,13 - 7.39 7.39 - - -

GWEL 9.29 - - - - -

GBHHPPL 9.10 - - - - -

GEL2,4,7,10,18,19 217.04 - - - - -

GGSPPL 0.61 - - - - -

GCHEPL8 14.26 - - - - -

GREL4,7 44.46 - - - - -

GKEL2,4 5.01 5.01 - - - -

299.77 12.40 7.39

Less: provision for impairment (6,183.27) (2,540.24) (554.16) - - -

Total investment in equity 8,495.42 5,858.42 7,677.06 - 1.99

C. Investment in preference shares of subsidiary companies

i. Investment in preference shares in the nature of equity) of subsidiary companies at cost

GGAL2,4,7,8 492.10 - - - - -

[492,102,500 (March 31, 2016: Nil and April 01, 2015: Nil) 0.01% compulsorily convertible cumulative preference shares of ` 10 each]

ii. Investment in preference shares of subsidiary companies at amortised cost

GPEL 16.89 15.25 13.77 - - -

[4,450,000 (March 31, 2016: 4,450,000 and April 01, 2015: 4,450,000) 8% non-cumulative redeemable preference shares of ` 100 each]

GACEPL6 0.39 0.36 0.32 - - -

[66,000 (March 31, 2016: 66,000 and April 01, 2015: 66,000) 8% non-cumulative redeemable preference shares of ` 100 each]


(` in crore)






GMRHL1,6,9,13,16 - 432.16 390.34 - - -

[Nil (March 31, 2016: 70,654,000 and April 1, 2015: 70,654,000) 8% non-cumulative redeemable preference shares of ` 100 each]

GMRHL1,6,9,13,16 - 54.62 - - - -

[Nil (March 31, 2016: 13,700,000 and April 1, 2015: Nil) 8% non-cumulative redeemable preference shares of ` 100 each]

GCORRPL 13.37 12.08 10.91 - - -

[3,392,500 (March 31, 2016: 3,392,500 and April 1, 2015: 3,392,500) 6% non-cumulative redeemable convertible preference shares of ` 100 each]

GCAPL 9.88 8.64 7.55 - - -

[15,000,000 (March 31, 2016: 15,000,000 and April 1, 2015: 15,000,000) 8% non-cumulative redeemable preference shares of ` 10 each]

DSPL 139.97 122.33 106.87 - - -

[42,000,000 (March 31, 2016: 42,000,000 and April 1, 2015: 42,000,000) 8% compulsorily convertible preference shares of ` 10 each]

GHVEPL9 38.04 34.37 31.05 - - -

[8,152,740 (March 31, 2016: 8,152,740 and April 1, 2015: 8,152,740) 6% non-cumulative redeemable/ convertible preference shares of ` 100 each]

GGAL2,4,7,8 - 410.89 360.96 - - -

[Nil (March 31, 2016: 1,013,440,000 and April 1, 2015: 1,013,440,000) 8% compulsorily convertible cumulative preference shares of ` 10 each]

GKUAEL9 0.42 0.38 0.34 - - -

[195,000 (March 31, 2016: 195,000 and April 1, 2015: 195,000) 0.1% non cumulative compulsorily convertible preference shares of ` 100 each]

GAL3,12 - - - - - -

[10,731,700 (March 31, 2016: 10,731,700 and April 1, 2015: 10,731,700) class B compulsorily convertible preference shares of ` 1,000 each]

GGAL2,4,7,8 - 447.59 393.19 - - -

[Nil (March 31, 2016: 11,039,649 and April 1, 2015: 11,039,649) 0.01% compulsorily convertible cumulative preference shares of ` 1,000 each]

GGAL2,4,7,8 - 200.94 176.52 - - -

[Nil (March 31, 2016: 495,602,500 and April 1, 2015: 495,602,500) 0.01% compulsorily convertible cumulative preference shares of ` 10 each]

711.06 1,739.61 1,491.82 - - -


(` in crore)






5. Financial assets - Investments (Contd.) (` in crore)



D. Investment in debentures of subsidiary companiesi. Investment in debentures (in the nature of equity) of subsidiary companies at costGSPHPL15 100.00 - - - - - 100 (March 31, 2016: Nil and April 1, 2015: Nil) 0% (March 31, 2016: Nil and April 1, 2015: Nil) unsecured optionally convertible cumulative debentures of ` 10,000,000 each]

- - - - - -

GSPHPL15 270.20 263.70 - - - - [270,200,000 (March 31, 2016: 263,700,000 and April 1, 2015: Nil) 0% non marketable unsecured compulsory covertible debentures of ` 10 each]ii. Investment in debentures of subsidiary companies at amortised costGKSEZ 22.85 22.85 22.85 - - -

[22.85 (March 31, 2016: 22.85 and April 1, 2015: 22.85) 12% unsecured optionally convertible cumulative debentures of ` 10,000,000 each]

GKSEZ 73.40 73.40 73.40 - - -

[734 (March 31, 2016: 734 and April 1, 2015: 734) 12% unsecured optionally convertible cumulative debentures of ` 1,000,000 each]

GAPL14 - 98.65 98.65 - - - [Nil (March 31, 2016: 9,865 and April 1, 2015: 9,865) 12.50% unsecured optionally convertible debentures of ` 100,000 each]GSPHPL15 - 52.54 46.44 - - -

[Nil (March 31, 2016: 100 and April 1, 2015: 100) Nil (March 31, 2016: 1% and April 1, 2015: 1%) unsecured optionally convertible cumulative debentures of ` 10,000,000 each]

GSPHPL15 129.00 55.57 48.32 - - -

[12,900 (March 31, 2016: 12,900 and April 1, 2015: 12,900) 12.25% (March 31, 2016: 0.1% and April 1, 2015: 0.1%) unsecured optionally convertible cumulative debentures of ` 100,000 each]GSPHPL15 14.76 14.76 14.76 - - -

[1,476 (March 31, 2016: 1,476 and April 1, 2015: 1,476) 12% unsecured optionally convertible cumulative debentures of ` 100,000 each]

GCAPL - - - - - 11.00

[Nil (March 31, 2016: Nil and April 1, 2015: 1,150,000) 1% unsecured non-convertible redeemable debentures of ` 100 each]Deepesh Properties Private Limited (‘DPPL’) 0.75 0.66 0.57 - - - [150 (March 31, 2016: 150 and April 1, 2015: 150) 0.1% unsecured optionally convertible cumulative debentures of ` 100,000 each]

GEL2,4,7,10,18,19 - 861.83 960.00 - 110.83 98.17 [Nil (March 31, 2016: 10,000 and April 1, 2015: 10,000) (March 31, 2016: 13.85% and April 1, 2015: 14.50%) unsecured non-convertible redeemable debentures of ` Nil (March 31, 2016: ` 867,500 and April 1, 2015: ` 967,500)]Less: Current portion of non-current investments (110.83) (98.17)

610.96 1,333.13 1,166.82 - 110.83 109.17




5. Financial assets - Investments (Contd.) (` in crore)



E. Investments at fair value through profit and loss accountInvestment in mutual fundsICICI Prudential Liquid Regular Plan Nil (March 31, 2016: 491,818.16 and April 1, 2015: Nil) units of ` Nil (March 31, 2016: 223.85 each and April 1, 2015: Nil)

- - - - 11.01 -

L&T Liquid Fund- Regular Growth 30,358.34 (March 31, 2016: Nil and April 1, 2015: Nil) units of ` 2,225.52 each (March 31, 2016: Nil and April 1, 2015: Nil)

- - - 6.77 - -

- - - 6.77 11.01 - F. Unquoted equity shares - In other Body CorporatesGMR Holding Malta Limited (‘GHML’)1 - - 0.00 - - 0.00 [Nil (March 31, 2016: Nil and April 1, 2015: 58) equity shares of EURO 1 [` Nil (March 31, 2016: ` Nil and April 1, 2015: ` 3,924)]Less: Current portion of non current investments - - (0.00) - - - Istanbul Sabiha Gokcen Uluslararasi Havalimani Yer Hizmetleri Anonim Sirketi (‘SGH’)1 - 1.27 1.27 - - -

[Nil (March 31, 2016: 4,300 and April 1, 2015: 4,300) equity shares of YTL 100 each]Less: provision for dimunition in value of investments - (1.27) (1.27) - - -

- - - - - 0.00 Total investments (A+B+C+D+E+F) 9,817.44 8,931.16 10,335.70 6.77 123.83 109.17 Aggregate book and market value of quoted investments - - - 6.77 11.01 -

Aggregate gross value of unquoted investments 16,000.72 11,472.67 10,891.13 - 112.82 109.17 Aggregate amount of impairment in value of investments (6,183.27) (2,541.51) (555.43) - - -

1. Details of investments pledged at face value as security in respect of the loans availed by the Company and the investee Companies. The following unquoted investments included above have been pledged as security in respect of the borrowings of the Company or the investee Companies:

(` in crore)

Description March 31, 2017 March 31, 2016 April 01, 2015GMRHL 20.00 15.40 15.40[19,999,994 (March 31, 2016: 15,400,000 and April 1, 2015: 15,400,000 equity share of ` 10 each )]GACEPL 23.27 23.27 23.27[23,272,687 (March 31, 2016: 23,272,687 and April 1, 2015: 23,272,687) equity shares of ` 10 each]GMCAC 12.03 12.03 1.37 [88,405,234 (March 31, 2016: 88,405,234 and April 1, 2015: 10,000,000) equity shares of PHP 1 each]GCORRPL 2.42 2.42 2.42[2,418,000 (March 31, 2016: 2,418,000 and April 1, 2015 2,418,000) equity shares of ` 10 each]GOSEHHHPL 59.80 59.80 7.99[59,801,692 (March 31, 2016: 59,801,692 and April 1, 2015 7,988,993) equity shares of ` 10 each]GAL 91.23 91.23 91.23 [91,226,067 (March 31, 2016: 91,226,067 and April 1, 2015 91,226,067) equity shares of ` 10 each]GEL 314.47 527.86 375.75 314,466,466 (March 31, 2016: 527,861,749 and April 1, 2015 375,752,855) equity share of ` 10 each]GHML - - 0.00 [Nil (March 31, 2016: Nil and April 1, 2015: 58) equity shares of Euro 1 each] [March 31, 2016 ` Nil and April 1, 2015: ` 3,924]




2. The Company along with its subsidiaries entered into a Subscription and Shareholders Agreement with Tenaga Nasional Berhad (Tenaga) and its

affiliate, Power and Energy International (Mauritius) Limited (‘Investors’) whereby the investors have acquired a 30% equity stake in a select portfolio

of GEL assets on a fully diluted basis for a consideration of USD 30.00 crore through primary issuance of equity shares of GEL. The transaction was

completed on November 4, 2016 and GEL has allotted equity shares to the Investors for the said consideration of USD 30.00 crore. As per the conditions

precedent to the completion of the transaction, GEL’s investment in certain entities have been transferred from GEL to other subsidiaries of the Company

along with novation of loans taken from the Company to GGAL towards discharge of the purchase consideration. Pursuant to the above transaction,

compulsory convertible preference shares of GGAL issued to various preference shareholders have also been converted into equity shares of GGAL.

Pursuant to the aforesaid transaction, GEL and its underlying entities ceased to be subsidiaries of the Company and have been considered as joint

ventures as per the requirements of Ind AS -111.

3. GAL has allotted these shares as bonus shares in their allotment and transfer committee meeting held on August 04, 2011.

4. The Company has investments in GGAL and GEL. GGAL and GEL and their underlying subsidiaries/joint ventures are engaged in energy sector including

mining operations. Some of these underlying subsidiaries/ joint ventures as further detailed in Notes 7, 8, 10 and 11 have been incurring losses. As

a result, based on its internal assessment with regard to future operations and valuation assessment by an external expert and a consummated

transaction as referred in note 2 above, the management of the Company has made a provision for diminution in the value of its investments in GGAL

and GEL amounting to ` 4,446.20 crore (` 2,809.74 crore for the year ended March 31, 2017) and have disclosed the same as an ‘exceptional item’ in

the standalone financial statements of the Company for the year ended March 31, 2017. The management is of the view that post such diminution the

carrying value of the Company’s investment in GGAL and GEL is appropriate.

5. The Company through its subsidiary GMR Infrastructure (Mauritius) Limited (‘GIML’) has made investments of ` 151.54 crore (USD 2.31 crore) towards

77% holding in GMR Male International Airport Private Limited (‘GMIAL’), a subsidiary of the Company.

GMIAL entered into an agreement on June 28, 2010 with Maldives Airports Company Limited (‘MACL’) and Ministry of Finance and Treasury (‘MoFT’),

Republic of Maldives for the Rehabilitation, Expansion, Modernization, Operation and Maintenance of Male International Airport (‘MIA’) for a period of 25

years (“the Concession Agreement”). On November 27, 2012, MACL and MoFT issued notices to GMIAL stating that the Concession Agreement was void

ab initio and that neither MoFT nor MACL had authority under the laws of Maldives to enter into the agreement and MACL took over the possession and

control of the MIA and GMIAL vacated the airport effective December 8, 2012. The matter was under arbitration. During the year ended March 31, 2017,

the arbitration tribunal delivered its final award in favour of GMIAL, pursuant to which GMIAL received ` 1,777.76 crore (USD 27.10 crore) from MACL.

Further, GMIAL executed work construction contracts with GADL International Limited (‘GADLIL’), a subsidiary of the Company and other service

providers for rehabilitation, expansion, modernization of MIA. Pursuant to the aforesaid takeover of airport, GMIAL has terminated the contracts with

GADLIL and these service providers. As per the terms of contracts, in the event of discontinuation of construction, GMIAL is required to pay termination

payment to the service providers. GMIAL has received claims of around USD 8.00 crore as at March 31, 2017 from GADLIL and other service providers.

However, no such claims relating to the termination of contracts have been recognised as at March 31, 2017 since the amounts payable are not certain.

GMIAL is in the process of settling various obligations and the aforesaid claims, however the management is confident that the consideration received

by the Company is higher than the carrying value of the claims recoverable and the claims from the EPC contractors and accordingly do not require any

further adjustments to the carrying value of the investments in GMIAL as at March 31, 2017.

(` in crore)

Description March 31, 2017 March 31, 2016 April 01, 2015

GMRHL - 219.32 183.70

[Nil (March 31, 2016: 21,932,040 and April 1, 2015 18,370,040) 8% non-cumulative redeemable preference shares of ` 100 each]

SGH - 1.27 1.27

[Nil (March 31, 2016: 4,300 and April 1, 2015: 4,300) equity shares of YTL 100 each]

GGAL 3,793.95 - -

[3,793,950,136 equity shares of ` 10 each (March 31, 2016: Nil and April 1, 2015: Nil)]




6. The Company along with its subsidiaries has investments of ` 448.18 crore in GACEPL a subsidiary of the Company as at March 31, 2017. GACEPL has

been incurring losses since the commencement of its commercial operations and has accumulated losses of ` 302.35 crore as at March 31, 2017. The

management believes that these losses are primarily attributable to the loss of revenue arising as a result of diversion of partial traffic on parallel roads.

The matter is currently under arbitration and the arbitration tribunal has passed an interim order staying the payment of negative grant which was due

during the years ended March 31, 2014, March 31, 2015, March 31, 2016 and March 31, 2017 till further orders. Based on an internal assessment and a

legal opinion, the management of GACEPL is confident that it will be able to claim compensation from relevant authorities for the loss it has suffered

due to such diversion of traffic and accordingly, the investments in GACEPL has been carried at cost and no provision for diminution in the value of

investments has been made as at March 31, 2017.

7. In view of lower supplies/ availability of natural gas to the power generating companies in India, GEL, GMR Vemagiri Power Generation Limited (‘GVPGL’)

and GMR Rajahmundry Energy Limited (‘GREL’) are facing shortage of natural gas supply and delays in securing gas linkages. As a result, GEL has not

generated and sold electrical energy since April 2013. GVPGL and GREL emerged as successful bidders in the auction process organised by the Ministry

of Power and operated on an intermittent basis from August 2015 and October 2015 respectively till September 2016. These entities have been incurring

losses including cash losses on account of the aforesaid shortage of natural gas supply. During the year ended March 31, 2017, GEL has entered into a

Memorandum of Undertaking with an external party for sale of its 220 MW gas based power plant for a consideration of USD 6.30 crore and is in the

process of entering into a definitive agreement for the sale of the powerplant.

GREL had not commenced commercial operations pending linkages of natural gas supply from the Ministry of Petroleum and Natural Gas till the period

ended September 30, 2015. As a result, during the year ended March 31, 2016, under a Framework for Revitalising Distressed Assets in the Economy,

Reserve Bank of India (‘RBI’) announced Strategic Debt Restructuring Scheme (‘SDR’), under which the lenders have to collectively hold 51% or more of

the equity shares in the Company with distressed assets. The consortium of lenders of GREL decided to implement Strategic Debt Restructuring Scheme

to convert part of the debt outstanding into equity and to undertake flexible structuring of balance debt post conversion as a Corrective Action Plan

for improving viability and revival of the project. Pursuant to the scheme, borrowings aggregating to ` 1,308.57 crore and interest accrued thereon

amounting to ` 105.42 crore was converted into equity shares of GREL on May 12, 2016 for 55% stake in equity share capital of GREL and the Company

and GGAL has given a guarantee of ` 2,738 crore to the lenders against the remaining debt. The aforesaid conversion has resulted in loss of control

by the Group over GREL and the Consortium of bankers have taken over 55% of the paid up equity share capital of GREL and the bankers have to find

a new promoter for GCHEPL within the period as prescribed under the scheme. Post conversion, balance external borrowings are subject to flexible

structuring (5/25 scheme) for repayment of the same over a period of 20.50 years comprising of moratorium period of 1.75 years and structured

quarterly repayment period of 18.75 years. Consequent to the SDR as stated, GREL ceased to be a subsidiary of the Company and has been considered

as a joint venture as per the requirements of Ind AS 111.

The management and the Association of Power Producers continue to monitor the macro situation and are evaluating various approaches/

alternatives to deal with the situation and the management is confident that Government of India (‘GoI’) would take further necessary steps/

initiatives in this regard to improve the situation regarding availability of natural gas from alternate sources in the foreseeable future. The

management has also carried out a valuation assessment of these gas based companies which includes certain assumptions relating to availability

and pricing of domestic and imported gas, future tariff and other operating parameters, which it believes reasonably reflect the future expectations

from these projects. The management will monitor these aspects closely and take actions as are considered appropriate and is confident that

these gas based entities will be able to generate sufficient profits in future years and meet their financial obligations as they arise. Based on the

aforementioned reasons, business plans and a valuation assessment by an external expert, the management is of the view that the carrying value

of the investments including advances in these aforesaid entities (net of provision for diminution in the value of investments) as at March 31, 2017

is appropriate.

8. As at March 31, 2017, the Company through its subsidiary GGAL, has investments of ` 3,556.15 crore in GMR Chhattisgarh Energy Limited (‘GCHEPL’).

GCHEPL has declared commercial operations of Unit I and coal mine on November 1, 2015 and Unit II on March 31, 2016 of its 1,370 MW coal based

thermal power plant at Raipur district, Chhattisgarh. GCHEPL does not have any PPAs currently and has been incurring losses since the commencement

of its commercial operations and has accumulated losses of ` 2,032.78 crore as at March 31, 2017. GCHEPL is taking steps to tie up the power supply

through power supply agreements on a long/medium term basis with various customers including State Electricity Boards and is hopeful of tying up

significant part of generation capacity in the ensuing financial year.




GCHEPL has experienced certain delays and incurred cost overruns in the completion of the project including receipt of additional claims from the EPC

contractors. The claims of the key EPC contractor, Doosan Power Systems India Private Limited (‘DPS’) is under arbitration in the Singapore International

Arbitration Centre (SIAC). Based on the legal opinion, the management is confident that it has strong defence for the claims raised by the EPC contractor

and believes that the claims are not tenable in law and accordingly no financial implications are expected out of the said arbitration.

GCHEPL has also obtained provisional Mega Power status certificate from the Ministry of Power, GoI, vide letter dated September 8, 2011 and accordingly

has availed an exemption of customs and excise duty against bank guarantees of ` 955.68 crore and pledge of deposits of ` 50.94 crore. The grant of

final mega power status of GCHEPL was dependent on its achieving tie up for supply of power for 85% of its installed capacity through the long term

power purchase agreements within stipulated time which has been extended to 120 months from the date of import, as per the recent amendment to

Mega Power Policy 2009 by the Government of India. The management of GCHEPL is certain of fulfilling the conditions relating to Mega Power status in

the foreseeable future, pending which cost of customs and excise duty has not been included in the cost of the project.

During the year ended March 31, 2017, under a Framework for Revitalising Distressed Assets in the Economy by RBI, the lenders of GCHEPL have

implemented the Strategic Debt Restructuring Scheme on February 21, 2017 pursuant to which borrowings of GCHEPL aggregating to ` 2,992.22 crore

(including interest accrued thereon of ` 652.22 crore) got converted into equity shares. The lenders got 52.38% stake in the equity share capital of the

GCHEPL. The aforesaid conversion has resulted in loss of control by the Group over GCHEPL and the Consortium of bankers have taken over 52.38% of

the paid up equity share capital of GCHEPL and the bankers have to find a new promoter for GCHEPL within the period as prescribed under the scheme.

Further, majority of the lenders have reduced interest rates for GCHEPL and are considering implementing the 5/25 Scheme, which grants GCHEPL

extension of time towards repayment of outstanding debts and will result in better cash flow management for GCHEPL. Consequent to the SDR as stated

above, GCHEPL ceased to be a subsidiary of the Company and has been considered as a joint venture as per the requirement of Ind AS-111.

GCHEPL was allotted two coal mines at Ganeshpur and Talabira to meet its fuel requirements. Subsequent to the year ended March 31, 2017, GCHEPL has

filed writ petition with Delhi High Court for surrendering both the coal blocks allotted during the year ended March 31, 2015. The management is of the

opinion that in view of the recent decisions by the Delhi High Court in similar cases, there will be no financial implications on GCHEPL for the surrender

of mines.

The Group has obtained a valuation report from an external expert estimating the future cash flows of GCHEPL on discounted cash flow basis. The

valuation is dependent on the achievement of certain key assumptions considered by the management around GCHEPL’s future revenues, profitability

of operations and servicing of its debts which are dependent on tying up of GCHEPL entire generation capacity for profitable rates through long term

and medium term PPAs in a power scarce market, achievement of higher PLF, projected sales mix of PPA and merchant power, fuel linkage tie ups

and refinancing of existing loans with lower interest rates with banks, achievement of mega power status and successful gains from the government

announced initiatives of tolling linkage and continued financial support by the Company.

The management is monitoring these assumptions closely on a periodic basis and based on business plans and valuation assessment carried out by an

external expert, the management of the Group is of the view that the carrying value of the investments in GCHEPL (net of provision for diminution in the

value of investments) as at March 31, 2017 is appropriate.

9. Based on internal assessment of its investments in GMRHL, a subsidiary of the Company and other road entities, the Company made a provision for

diminution in the value of investments / advances of ` 1,636.76 crore as at March 31, 2017 (including ` 736.07 crore provided during the year ended March

31, 2017) which has been disclosed as an ‘exceptional item’ in the standalone Ind AS financial statements of the Company for the year ended March 31, 2017.

As detailed below, the diminution in value has primarily arisen on account of the diminution in the value of investments / advances in GHVEPL and GKUAEL.

(a) GHVEPL has been incurring losses since the commencement of its commercial operations. The management believes that these losses are

primarily due to loss of revenue arising as a result of drop in commercial traffic on account of bifurcation of State of Andhra Pradesh and

ban imposed on sand mining in the region. The management of GHVEPL based on its internal assessment and a legal opinion, believes that

these events constitute a Change in Law as per the Concession Agreement and GHVEPL is entitled to a claim for losses suffered on account

of the aforementioned reasons and accordingly filed its claim of ` 222.79 crore for the loss of revenue till the year ended March 31, 2016 with

National Highways Authority of India (‘NHAI’). Subsequently, NHAI rejected the aforementioned claims and consequently GHVEPL invoked dispute

resolution process as per the provisions of the Concession Agreement. Subsequently, NHAI has intimated GHVEPL that conciliation has failed and

the management of GHVEPL is in the process of initiating the arbitration.

(b) The management of GHVEPL is confident that it will be able to claim compensation from the relevant authorities for the loss it suffered due to

aforementioned reasons and based on valuation assessment carried out by an external expert which is significantly dependent on the fructification

of the aforesaid claims believes that the carrying value of its investments in GHVEPL (net of provision for diminution in the value of investments)

as at March 31, 2017 is appropriate.




GKUAEL had entered into a Concession Agreement with NHAI on November 30, 2011 for six laning of Kishangarh-Udaipur-Ahmedabad section of

NH 79A, 79, 76 and 8. Pursuant to non-fulfillment of the mandatory ‘Conditions Precedent’ specified under the Concession Agreement within the

due date, GKUAEL had issued a notice to NHAI dated December 21, 2012 of its intention to terminate the Concession Agreement. In response, NHAI

vide their letter dated January 1, 2013 termed the notice not maintainable both in law and in facts. The matter was under arbitration.

During the year ended March 31, 2017, the Company has settled their disputes with NHAI before the arbitral tribunal after payment of penalty of

` 53.87 crore by GKUAEL to NHAI and the bank guarantee of ` 269.36 crore has been discharged by NHAI.

In addition, GKUAEL had awarded the EPC contract to GMR Enterprises Private Limited (‘GEPL’) and had given an advance of ` 590.00 crore.

Pursuant to the issue of notice of dispute as stated above, GKUAEL terminated the contract on May 15, 2015. During the year ended March 31, 2017,

GKUAEL has settled the claims of the EPC contractors for ` 259.13 crore and confident of recovery of the balance ` 330.87 crore from GEPL and

accordingly, the management is confident that the carrying value of its investments (net of provision for diminution in the value of investments)

in GKUAEL as at March 31, 2017 is appropriate.

10. As at March 31, 2017, the Company along with its subsidiaries and joint ventures has investments of ` 456.24 crore in GMR Badrinath Hydro Power

Generation Private Limited (‘GBHPL’). GBHPL is in the process of setting up 300 MW hydro based power plant in Alaknanda River, Chamoli District of

Uttarakhand. The Hon’ble Supreme Court of India (‘the Court’), while hearing a civil appeal in the matters of Alaknanda Hydro Power Company Limited,

directed vide its order dated May 7, 2014 that no further construction work shall be undertaken by the 24 projects coming up on the Alaknanda and

Bhagirathi basins until further orders. Further, during the year ended March 31, 2016, Ministry of Environment Forest and Climate Change (‘MoEF’)

has represented to the Supreme Court of India that of the six hydro projects in Uttarakhand, two projects including GBHPL requires certain design

modifications as per the policy stipulations. However, based on its internal assessment and a legal opinion, the management of GBHPL is confident of

obtaining the requisite clearances and based on business plan and a valuation assessment, carried out by an external expert the management of the

Company is of the view that the carrying value of the investments in GBHPL as at March 31, 2017 is appropriate.

11. The Company through its subsidiary GMR Coal Resources Pte. Limited (‘GCRPL’) has investments of Rs 3,325.26 crore (USD 50.69 crore) in PTGEMS, a

joint venture as at March 31, 2017. PTGEMS along with its subsidiaries are engaged in the business of coal mining and trading activities. GCRPL has a Coal

Supply Agreement (‘CSA’) with PTGEMS whereby it is entitled to offtake stated quantity of coal as per the terms of the CSA at an agreed discount. GCRPL

has not significantly commenced the offtake of the coal under the CSA, however the management is of the view that the same will not have an impact

on their total entitlement of offtake of coal under the CSA. Though the coal prices had significantly declined during the year ended March 31, 2016, there

has been an increase in coal prices during the current year. Further, during the year ended March 31, 2017, GCRPL has restructured its loan facility with

the lenders whereby the loan is repayable over a period of 5 years commencing January 2017. Based on these factors and valuation assessment carried

out by an external expert, the management believes that the carrying value of investments in PTGEMS as at March 31, 2017 is appropriate.

12. Pursuant to the investor agreements (including amendments thereof) entered into during the years ended March 31, 2011 and 2012 (hereinafter

collectively referred to as “investor agreement”), GAL, a subsidiary of the Company, had issued 3,731,468 Class A Compulsorily Convertible Preference

Shares (“CCPS A”) of ` 1,000 each at a premium of ` 2,885.27 each and ` 3,080.90 each aggregating to ` 663.31 crore and ` 441.35 crore respectively,

to certain Private Equity Investors (‘Investors’). Further, GAL had allotted bonus shares of 11,046,532 class B Compulsorily Convertible Preference Shares

(“CCPS B”) to the Company, utilising the securities premium account.

As per the terms of the investor agreement, the Company has a call option to buy CCPS A from the Investors for a call price to be determined as per the

terms of the investor agreement. The call option was to be exercised by the Company on or before April 6, 2015. If the call option was not exercised by

the Company before April 6, 2015, as per the investment agreement, each CCPS A will get converted into 82.821 equity shares of GAL with simultaneous

conversion of CCPS B held by the Company into equity shares of GAL as per Articles and Memorandum of Association of GAL.

The Company vide its letter dated April 1, 2015, had exercised the call option to buy the CCPS A, subject to the requisite regulatory approvals. However,

Investors have initiated arbitration proceedings against GAL and the Company, seeking conversion of the CCPS A. During the year ended March 31, 2017,

the investors filed their statement of claim and the Company along with GAL have filed their statement of defense/ reply respectively. In view of ongoing

arbitration, no adjustments have been made for the call option exercised by GIL to acquire CCPS A and the CCPS B issued to the Company continues to

be carried at cost of ` Nil. Accordingly, the standalone financial statements of the Company do not include any adjustments that might result from the

outcome of this uncertainty.

13. During the year ended March 31, 2016, the Company along with its subsidiary GMRHL, entered into a shares purchase agreement (‘SPA’) with Oriental

Tollways Private Limited and Orbit Infraventures LLP for the divestment of 117,300,000 equity shares of ` 10 each, held by both the Company and

GMRHL, representing their 51.00% stake in GOSHHEPL, a joint venture of the Company for a sale consideration of ` 59.14 Crore. As at March 31, 2017,




the transfer of 59,801,692 equity shares held by the Company is not completed. However, based on the SPA, the Company has made a provision for

impairment of ` 29.65 Crore towards the diminution in the value of investments, which had been disclosed as an ‘exceptional item’ in the financial

statements of the Company for the year ended March 31, 2016.

14. During the year ended March 31, 2017, based on an internal assessment of its investments in GAPL, a subsidiary of the Company, the Company has made

a provision for diminution in the value of its investments of ` 110.39 crore as at March 31, 2017 (including ` 108.35 crore provided during the year ended

March 31, 2017) which has been disclosed as an ‘exceptional item’ in the standalone financial statements of the Company for the year ended March 31,

2017.

15. GSPHPL, a subsidiary of the Company has invested in certain step down subsidiaries which holds investment properties. The Company has considered

fair value of its investments in GSPHPL as deemed cost under Ind AS 101 ‘First-time Adoption of Indian Accounting Standards’ and accordingly, based on

the valuation assessment done by an external expert as per the requirements of Ind AS, the Company has adjusted ` 734.70 crore to the carrying value

of its investments in GSPHPL reported under the previous GAAP in its opening balance sheet as at April 1, 2015 prepared under Ind AS with a consequent

increase in Other Equity.

16. During the year ended March 31, 2016, the Company along with its subsidiaries GMRHL and GEL, entered into a SPA with India Infrastructure Fund for

the sale of their entire equity stake of 26.00% in UEPL for a sale consideration of ` 32.50 Crore. As at March 31, 2016, the sale transaction was not

completed. However, based on the SPA the Company has made a provision for impairment of ` 1.05 Crore which had been disclosed as an ‘exceptional

item’ in the standalone financial statements of the Company for the year ended March 31, 2016.

17. The Company through GIML has an investment in GMR Infrastructure (Cyprus) Limited, a subsidiary of GIML. GICL has fixed deposits of

` 229.60 Crore (USD 3.50 crore) as at March 31, 2017 with Eurobank, Cyprus. The Republic of Cyprus is presently facing economic difficulties. During the

year ended March 31, 2017, the bank has released USD 3.36 crore and the management of the Group is of the view that despite such economic difficulties,

the amount held as fixed deposit with Eurobank is good for recovery though withdrawal of the amount from the Republic of Cyprus would be subject to

restriction as may be imposed by the Central Bank of Cyprus.

18. As at March 31, 2017, the Company through GEL, has investments of ` 1,227.89 Crore (including investments in equity / preference share capital and

subordinate loans and interest accrued thereon) in GMR Warora Energy Limited (‘GWEL’) (‘Formerly known as EMCO Energy Limited') and has also

provided corporate / bank guarantee towards loans taken by GWEL from the project lenders. GWEL is engaged in the business of generation and sale

of electrical energy from its coal based power plant of 600MW situated at Warora. GWEL has accumulated losses of ` 911.30 Crore as at March 31, 2017

which has resulted in erosion of GWEL’s entire net worth. GWEL has achieved the COD of Unit I in March 2013 and of Unit II in September 2013 and has

tied up entire power supplies capacity with customers and has completed the refinancing of its term and other loans with the lenders which has resulted

in the reduction in the rate of interest and extended repayment period. Though the networth of GWEL is fully eroded, GWEL has earned profit of 142.67

Crore for the year ended March 31, 2017 as compared to loss of ̀ 265.28 Crore for the year ended March 31, 2016 . Accordingly, the management of GWEL

expects that the plant will generate sufficient profits in the future years and based on business plans and valuation assessment by an external expert, is

of the view that the carrying value of the investments as at March 31, 2017 is appropriate.

19. As at March 31, 2016, the Company through its subsidiary GEL, has investments of ` 2,310.51 Crore (including investments in equity share capital,

subordinate loans and interest accrued thereon) in GMR Kamalanga Energy Limited (‘GKEL’), and also provided corporate / bank guarantee towards

loan taken by GKEL from the project lenders. GKEL is engaged in development and operation of 3*350 MW under Phase I and 1*350 MW under Phase

II, coal based power project in Kamalanga village, Orissa and has commenced commercial operation of Phase I of the project. GKEL has a fuel supply

agreement for 500 MW with Mahanadi Coal Fields Limited, a subsidiary of Coal India Limited. GKEL has accumulated losses of ` 1,767.89 Crore as at

March 31, 2017, which has resulted in substantial erosion of GKEL’s net worth due to operational difficulties faced during the early stage of its operations.

However, the losses have reduced and are ̀ 298.41 Crore for the year ended March 31, 2017 vis a vis losses of ̀ 853.78 Crore for the year ended March 31,

2015. Further, pursuant to the Reserve Bank of India’s framework for revitalizing distressed assets in the economy (including strategic debt restructuring

scheme), the consortium of bankers have amended the rupee term loan agreement on June 29, 2015 and accordingly loan is to be repaid in 66 quarterly

structured instalments from October 1, 2017. During the year ended March 31, 2016, GKEL has received favourable orders with regard to its petition for

‘Tariff Determination’ in case of PPA with GRIDCO Limited and for ‘Tariff Revision’ in case of PPAs with Haryana DISCOMS through PTC India Limited from

Central Electricity Regulatory Commission (‘CERC’). In view of these matters, business plans, valuation assessment by an external expert and continued

financial support by the Company, the management is of the view that the carrying value of the investments as at March 31, 2017 is appropriate.




6. Loans(` in crore)

Non-current Current

March 31, 2017

March 31, 2016

April 01, 2015

March 31, 2017

March 31, 2016

April 01, 2015

Loans to related parties

Unsecured, considered good (refer note 33) 1,825.55 5,497.51 3,693.35 499.99 316.55 189.69

Unsecured considered, doubtful (refer note 33) - - 5.70 - - -

1,825.55 5,497.51 3,699.05 499.99 316.55 189.69

Less: Provision for doubtful loans - - (5.70) - - -

(A) 1,825.55 5,497.51 3,693.35 499.99 316.55 189.69

Loans to employees (unsecured, considered good) 0.24 0.24 0.45 0.17 0.18 0.16

(B) 0.24 0.24 0.45 0.17 0.18 0.16

Tota (A+B) 1,825.79 5,497.75 3,693.80 500.16 316.73 189.85

1. The Company had given an interest free loan of ` 115.00 crore to GMR Welfare Trust (‘GWT’) during the year ended March 31, 2011 for the purpose of employee benefit scheme. The trust had utilised the proceeds of the loan received from the Company in the following manner:

(` in crore)

March 31, 2017

March 31, 2016

April 01, 2015

Investment in equity shares of the Company 101.55 101.55 101.55

Investment in equity shares of GAL 11.28 11.28 11.28

Others 2.17 2.17 2.17

115.00 115.00 115.00

SEBI had issued Circular CIR/CFD/DIL/3-2013 dated January 17, 2013 prohibiting listed companies from framing any employee benefit scheme involving acquisition of its own securities from the secondary market. SEBI had issued Circular CIR/CFD/POLICYCELL/14/2013 dated November 29, 2013 extending the date of compliance to June 30, 2014. The management of the Company submitted the details of the GWT to the stock exchanges. SEBI has issued a Notification dated October 28, 2014 notifying “The Securities and Exchange Board of India (Share Based Employee Benefits) Regulations, 2014” (“SEBI Regulations”) whereby the Companies having existing schemes to which these regulations apply are required to comply with these regulations within one year of the effective date of the regulations and the trusts holding shares, for the purposes of implementing general employee benefit schemes, which exceed ten percent of the total value of the assets of the trusts, shall have a period of five years to bring down trusts’ holding in such shares to the permissible limits. SEBI published Frequently Asked Question (“FAQ”) on SEBI Regulations and clarified that appropriation of shares towards ESPS/ESOP/SAR/General Employee Benefits Scheme / Retirement Benefit Schemes by October 27, 2015 would be considered as compliance with proviso to regulation 3(12) of the SEBI Regulations. The Company may appropriate towards individual employees or sell in the market during next three years so that no unappropriated inventory remains thereafter. The shareholders have approved the revised terms and conditions of the scheme by passing a special resolution in the Annual General Meeting of the Company held on September 23, 2015 and that the Company will ensure compliance with other applicable provisions of the new regulations within the permissible time period. Pursuant to the implementation of Ind AS, the Company has consolidated the financial statements of GWT in its standalone financial statements and accordingly the loans has become NIL.

2. Loans are non-derivative financial instruments which generate a fixed or variable interest income for the Company. The carrying value may be affected by the changes in the credit risk of the counter parties.

3. Refer note 5(2), 5(4), 5(6), 5(7), 5(8), 5(9), 5(10), 5(11), 5(14), 5(16) , 5(17), 5(18), 5(19)

7. Other financial assets (` in crore)

Non current Current

March 31, 2017

March 31, 2016

April 01, 2015

March 31, 2017

March 31, 2016

April 01, 2015

Unbilled revenue

Considered good 26.65 6.98 - 296.86 144.34 94.44

Considered doubtful - - - 4.28 2.67 1.06

Less: Provision for doubtful debts - - - (4.28) (2.67) (1.06)

26.65 6.98 - 296.86 144.34 94.44




(` in crore)

Non current Current

March 31, 2017

March 31, 2016

April 01, 2015

March 31, 2017

March 31, 2016

April 01, 2015

Non-current bank balance (refer note 13) 103.29 278.76 684.80 - - -

Security deposit (refer note 33) 3.23 1.66 3.80 4.63 8.67 23.03

Interest accrued on fixed deposits - - - 3.10 8.76 9.78

Interest accrued on loans and debentures to related parties (refer note 33)

- - - 244.89 390.44 134.43

Total other financial assets 133.17 287.40 688.60 549.48 552.21 261.68

- Refer Note 37 (c) for details pertaining to ECL

8. Trade receivables (` in crore)

Non-current Current

March 31, 2017

March 31, 2016

April 1, 2015

March 31, 2017

March 31, 2016

April 1, 2015

Unsecured, considered good1

Receivable from related parties (refer note 33) 1.17 1.60 0.82 17.29 50.66 44.55

Other trade receivables 41.06 36.62 48.93 50.59 61.79 98.22

(A) 42.23 38.22 49.75 67.88 112.45 142.77

Unsecured, considered doubtful

Receivable from related parties (refer note 33) - - - 5.00 3.18 1.43

Other trade receivables 9.04 5.09 2.65 10.69 9.09 3.76

(B) 9.04 5.09 2.65 15.69 12.27 5.19

Less: Provision for doubtful receivables (9.04) (5.09) (2.65) (15.69) (12.27) (5.19)

Total trade receivables (A + B) 42.23 38.22 49.75 67.88 112.45 142.77

No trade or other receivable are due from directors or other officers of the Company either severally or jointly with any other person. Nor any trade or other receivable are due from firms or private companies respectively in which any director is a partner, a director or a member.

Trade receivables are non-interest bearing.

Refer Note 37 (c) for details pertaining to ECL

1. Include retention money of ` 46.15 crore (March 31, 2016 ` 62.06 crore and April 1, 2015 ` 76.66 crore).

9. Other assets (` in crore)

Non-current Current

March 31, 2017

March 31, 2016

April 01, 2015

March 31, 2017

March 31, 2016

April 01, 2015

Capital advances

Unsecured, considered good (refer note 33) 0.01 0.31 0.02 - - -

(A) 0.01 0.31 0.02 - - -

Advances other than capital advances

Receivable from related parties (refer note 33) - - - 2.68 - 1.26

Other Advances - - - 67.50 137.48 12.48

(B) - - - 70.18 137.48 13.74

Ancillary cost of arranging the borrowings 0.23 - 29.41 0.86 0.08 0.89

Prepaid expenses 2.80 5.34 0.10 5.22 3.04 1.59

Balance with statutory / government authorities 23.36 16.51 18.80 - - -

(C) 26.39 21.85 48.31 6.08 3.12 2.48

Total other assets (A+B+C) 26.40 22.16 48.33 76.26 140.60 16.22




10. Deferred tax(` in crore)

March 31, 2017 March 31, 2016 April 1, 2015

Deferred tax liability

Fixed assets: Impact of difference between tax depreciation and depreciation / amortisation charged for the financial reporting

3.73 5.09 29.17

Deferred tax asset*

Impact of expenditure charged to the statement of profit and loss but allowed for tax purposes on payment basis

(3.73) (5.09) (29.17)

MAT Credit Entitlement 97.23 87.12 77.91

Total 97.23 87.12 77.91

11(a). Non-current tax assets (net)(` in crore)


Advance income tax (net of provision for current tax and including tax paid under protest) 85.73 77.68 69.53

Total 85.73 77.68 69.53

11(b). Liabilities for current tax (net)(` in crore)


Provision for current tax (net of advance income tax) 5.18 - -

Total 5.18 - -

12. Inventories(` in crore)


Raw materials (valued at lower of cost and net realizable value) 65.74 8.73 4.55

Total inventories 65.74 8.73 4.55

13. Cash and cash equivalents(` in crore)

Non-current Current

March 31, 2017

March 31, 2016

April 01, 2015


Balances with banks

- On current accounts6,7,8 0.28 0.28 10.18 16.95 35.66 398.42

Deposits with original maturity of less than three months - - 7.03 14.25 294.16 -

Cheques/ drafts on hand - - - - - 0.10

Cash on hand - - - 0.27 0.20 0.06

(A) 0.28 0.28 17.21 31.47 330.02 398.58

Other bank balances

- Deposits with remaining maturity for less than 12 months1,2,3,4,5,9,10

75.64 265.10 656.04 13.59 3.54 3.22

- Deposits with remaining maturity for more than 12 months 1,2,3,4,5,9,10

27.37 13.38 11.55 - - 0.06

(B) 103.01 278.48 667.59 13.59 3.54 3.28

Amount disclosed under other finacial assets (refer note 7) (103.29) (278.76) (684.80) - - -

(C) (103.29) (278.76) (684.80) - - -

Total (A+B-C) - - - 45.06 333.56 401.86




1. A charge has been created over the deposits of ` 28.70 crore (March 31, 2016: ` 121.90 crore and April 1, 2015: ` 82.69 crore) towards Debt Service

Reserve Account (‘DSRA’) maintained by the Company for loans availed by the Company from banks and financial institutions (refer note 16).

2. A charge has been created over the deposits of ` 25.55 crore (March 31, 2016: ` 20.55 crore and April 1, 2015: ` 20.55 crore) for working capital facility

availed by the Company (refer note 16).

3. A charge has been created over the deposits of ` 0.06 crore (March 31, 2016: ` 85.12 crore and April 1, 2015: ` 66.30 crore) for loan availed by the

Company from a bank (refer note 16).

4. A charge has been created over the deposits of ` Nil (March 31, 2016: ` 1.80 crore and April 1, 2015: ` 2.98 crore) towards DSRA maintained by the

Company with a bank for loan availed by GMRHL.

5. A charge has been created over the deposits of ` Nil (March 31, 2016: ` Nil and April 1, 2015: ` 502.10 crore) for loan against deposits availed by KSPL.

6. Includes unclaimed dividend of ` 0.27 crore (March 31, 2016: ` 0.27 crore and April 1, 2015: ` 0.27 crore).

7. Includes ` 0.01 crore (March 31, 2016: ` 0.01 crore and April 1, 2015: ` 9.91 crore) towards DSRA maintained by the Company with ICICI bank

(refer note 16).

8. Includes ` Nil (March 31, 2016: ` Nil and April 1, 2015: ` 347.65 crore) received towards share application money for issue of rights shares. The funds

were received in an escrow account and were restricted till the allotment of equity shares pursuant to the right issue (refer note 14(g)).

9. A charge has been created over the deposits of ` 6.50 crore (March 31, 2016: ` 6.50 crore and April 1, 2015: ` Nil) towards margin money for hedging

of FCCB interest (refer note 16).

10. A charge has been created over the deposits of ` 42.20 crore (March 31, 2016: ` 42.61 crore and April 1, 2015: ` Nil) towards bank guarantee facilities

availed by the Company.

11. Balances with banks on current accounts does not earn interest. Short-term deposits are made for varying periods of between one day and three

months, depending on the immmediate cash-requirement of the Company, and earn interest at the respective short-term deposit rates.

12. For the purpose of the standalone statement of cash flows, cash and cash equivalents comprise the following:

(` in crore)


Balances with banks:

- On current accounts 16.95 35.66 398.42

Deposits with original maturity of less than three months 14.25 294.16 -

Cheques/ drafts on hand - - 0.10

Cash on hand 0.27 0.20 0.06

31.47 330.02 398.58

Less: Bank overdraft** (refer note 16) (9.08) (10.07) (15.40)

Cash and cash equivalents for cash flow statement 22.39 319.95 383.18

** Bank borrowings are generally considered to be financing activities. However, where bank overdrafts which are repayable on demand form an integral

part of an entity’s cash management, bank overdrafts are included as a component of cash and cash equivalents. A characteristic of such banking

arrangements is that the bank balance often fluctuates from being positive to overdrawn. Accordingly, the Company has considered only such bank

overdrafts which fluctuates from being positive to overdrawn often.

13. During the year, the Company had specified bank notes or other denomination notes as defined in the MCA notification G.S.R. 308( E) dated March 31,

2017. The details of Specified Bank Notes (SBN) held and transacted during the period from November 8, 2016 to December 30, 2016, denomination

wise SBNs and other notes as per the notifications is given below:




(` in crore)

ParticularsSBN’s***

Other denomination

notesTotal

Closing cash in hand as on November 08, 2016 0.18 0.15 0.33

(+) Permitted receipts - 0.29 0.29

(-) Permitted payments - (0.28) (0.28)

(-) Amount deposited in banks (0.18) - (0.18)

Closing cash in hand as on December 30, 2016 - 0.16 0.16

*** For the purposes of this clause, the term ‘Specified Bank Notes’ shall have the same meaning provided in the notification of the Government of India, in the Ministry of Finance, Department of Economic Affairs number S.O. 3407(E), dated the 8th November, 2016.

14. Equity Share Capital

Equity Shares Preference Share2 Preference Share (Series A and B)3

In Numbers (` in crore) In Numbers (` in crore) In Numbers (` in crore)

Authorised share capital:

At April 1, 2015 7,500,000,000 750.00 - - 12,000,000 1,200.00

Increase/(decrease) during the year1 6,000,000,000 600.00 6,000,000 600.00 (12,000,000) (1,200.00)

At March 31, 2016 13,500,000,000 1,350.00 6,000,000 600.00 - -

Increase/(decrease) during the year - - - - - -

At March 31, 2017 13,500,000,000 1,350.00 6,000,000 600.00 - -

a. Issued equity capital

Equity shares of Re. 1 each issued, subscribed and fully paid

In Numbers (` in crore)

At April 1, 2015 4,361,247,379 436.13

Add: Issued during the year (refer note 14(g)) 934,553,010 93.46

Add : Converted from Series A CCPS & Series B CCPS during the year (refer note 14(c)) 740,144,886 74.00

At March 31, 2016 6,035,945,275 603.59

Changes during the period - -

At March 31, 2017 6,035,945,275 603.59

1. During the year ended March 31, 2016, the authorised equity share capital was increased by ` 600 crore i.e. 600 crore equity shares of Re. 1 each.

2. During the year ended March 31, 2016, the authorised preference share capital was increased by ` 600 crore i.e. 0.60 crore preference shares of of `

1000 each.

3. During the year ended March 31, 2016, the authorised preference share capital of Series A and Series B was decreased by ` 1,200 crore i.e. 1.20 crore

preference shares of of ` 1000 each.

b. Terms/rights attached to equity shares

The Company has only one class of equity shares having par value of Re 1 per share. Every member holding equity shares therein shall have voting rights in

proportion to the member's share of the paid up equity share capital. The Company declares and pays dividend in Indian rupees. The dividend proposed by

the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting.

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the Company, after distribution of all

preferential amounts. The distribution will be in proportion to the number of equity shares held by the equity shareholders.

c. Terms/ rights attached to preference shares

During the year ended March 31, 2014, pursuant to the equity shareholders’ approval obtained on March 20, 2014, the Company issued 11,366,704 CCPS of




face value of ` 1,000 each comprising of (a) 5,683,351 Series A CCPS each fully paid up, carrying a coupon rate of 0.001% per annum ('p.a.') and having a term

of 17 months from the date of allotment and (b) 5,683,353 Series B CCPS each fully paid up, carrying a coupon rate of 0.001% p.a. and having a term of 18

months from the date of allotment, to IDFC Limited, Dunearn Investments (Mauritius) Pte Limited, GKFF Ventures, Premier Edu-Infra Solutions Private Limited

and Skyron Eco-Ventures Private Limited. The Series A CCPS and Series B CCPS were convertible into equity shares upon the expiry of their respective terms

in accordance with the provisions of Chapter VII of the SEBI (Issue of Capital Disclosure Requirements) Regulations, 2009, as amended ('ICDR Regulations')

on the basis of the minimum permissible price, computed in accordance with Regulation 76 read with Regulation 71(b) of the SEBI ICDR Regulations on the

conversion date. Pursuant to the approval of the Management Committee of the Board of Directors dated August 26, 2015 and September 26, 2015, the

Company approved the allotment for conversion of aforesaid Series A CCPS into 359,478,241 equity shares of face value of Re. 1 each at a price of ` 15.81 per

equity share (including securities premium of ` 14.81 per equity share) and the Series B CCPS into 380,666,645 equity shares of face value of Re.1 each at a

price of ` 14.93 per equity share (including securities premium of ` 13.93 per equity share) respectively. The presentation of the liability and equity portions

of the share is explained in the summary of significant acconting policy.

d. Shares held by holding /ulitmate holding company and/ or their subsidiaries/ associates.

Out of the equity share issued by the company, share held by its holding company, ultimate holding company and their subsidiaries/ associates are as below:

Name of Shareholder March 31, 2017 March 31, 2016 April 01, 2015

No. of shares held

(`in crore) No. of shares held

(` in crore) No. of shares held

(` in crore)

GMR Holdings Private Limited (‘GHPL’), the Holding Company (till August 10, 2016)

- - 2,852,072,962 285.21 2,752,091,862 275.21

Equity shares of Re. 1 each, fully paid up

GMR Infra Ventures LLP (‘GIVLLP’), an associate of the Holding Company

31,321,815 3.13 31,321,815 3.13 31,321,815 3.13


GMR Enterprises Private Limited (‘GEPL’), an associate of the Holding Company (till August 10, 2016) and holding company w.e.f August 11, 2016.

2,878,245,098 287.82 23,400,000 2.34 23,400,000 2.34


Welfare Trust of GMR Infra Employees (‘GWT’), an associate of the Holding Company

17,999,800 1.80 17,999,800 1.80 17,999,800 1.80


GMR Business and Consulting LLP (‘GBC’), an associate of the Holding Company

805,635,166 80.56 805,635,166 80.56 52,973,443 5.30


Cadence Retail Private Limited (‘CRPL’), a subsidiary of the Holding Company

100,000 0.01 100,000 0.01 100,000 0.01


e. Details of shareholders holding more than 5% shares in the Company


No. of shares held

% holding in class

No. of shares held

% holding in class

No. of shares held

% holding in class

Equity shares of Re. 1 each fully paid

GHPL - - 2,852,072,962 47.25% 2,752,091,862 63.10%

GEPL 2,878,245,098 47.69% - - - -

GBC 805,635,166 13.35% 805,635,166 13.35% 52,973,443 1.21%

Dunearn Investments (Mauritius) Pte Limited 513,639,481 8.51% 513,639,481 8.51% - -

Series A CCPS of ` 1,000 each

Dunearn Investments (Mauritius) Pte Limited - - - - 3,944,084 69.40%

IDFC Limited* - - - - 209,550 3.69%

GKFF Ventures* - - - - 272,415 4.79%





No. of shares held

% holding in class

No. of shares held

% holding in class

No. of shares held

% holding in class

Premier Edu-Infra Solutions Private Limited* - - - - 209,550 3.69%

Skyron Eco Ventures Private Limited* - - - - 1,047,752 18.43%

Series B CCPS of ` 1,000 each

Dunearn Investments (Mauritius) Pte Limited - - - - 3,944,084 69.40%

IDFC Limited* - - - - 209,550 3.69%

GKFF Ventures* - - - - 272,416 4.79%

Premier Edu-Infra Solutions Private Limited* - - - - 209,550 3.69%

Skyron Eco Ventures Private Limited* - - - - 1,047,752 18.43%* Joint investor under the same share subscription and shareholders agreement.

As per records of the Company including its register of shareholders/ members, the above share holding represents both legal and beneficial ownership of

shares.

f. Aggregate number of shares issued for consideration other than cash during the period of five years immediately preceding the reporting date:

During the year ended March 31, 2016, 5,683,351 Series A CCPS and 5,683,353 Series B CCPS of face value of ` 1,000 each have been converted into

359,478,241 equity shares of face value of Re. 1 each at a price of ` 15.81 per equity share (including securities premium of ` 14.81 per equity share) and

380,666,645 equity shares of face value of Re.1 each at a price of ` 14.93 per equity share (including securities premium of ` 13.93 per equity share)

respectively (refer note 14(c))

g. Pursuant to the approval of the Management Committee of the Board of Directors dated April 18, 2015, the Company approved the allotment of

934,553,010 equity shares of face value of Re.1 each at a price of `15 per equity share (including securities premium of `14 per equity share) for an

amount aggregating to `1,401.83 crore to the existing equity shareholders of the Company on rights basis in the ratio of 3 equity shares for every 14

equity shares held by equity shareholders under chapter IV of the SEBI ICDR Regulations and provisions of all other applicable laws and regulations.

h. Shares reserved for issue under options

For details of shares reserved for issue on conversion of foreign currency convertible bonds ('FCCB'), please refer note 16(20) related to terms of

conversion/ redemption of FCCB

15. Other Equity

Share application money pending allotment (` in crore)

Balance as at April 01, 2015 889.66

Less: issue of shares (refer note 14(g)) (889.66)

Balance as at March 31, 2016 -

Balance as at March 31, 2017 (A) -

Equity component of preference shares (` in crore)


Balance as at March 31, 2016 133.94

Balance as at March 31, 2017 (B) 133.94

Issued preference share capital

In Numbers

At April 1, 2015

a) Series A CCPS of ` 1,000 each 5,683,351

b) Series B CCPS of ` 1,000 each 5,683,353

Changes during the period -

At March 31, 2016

a) Series A CCPS of ` 1,000 each 5,683,351

b) Series B CCPS of ` 1,000 each 5,683,353

Less: Converted into equity shares during the year

a) Series A CCPS of ` 1,000 each (Refer Note 14(c)) (5,683,351)




b) Series B CCPS of ` 1,000 each (Refer Note 14(c)) (5,683,353)

At March 31, 2017

a) Series A CCPS of ` 1,000 each -

b) Series B CCPS of ` 1,000 each -

Treasury shares (refer note 6) (` in crore)

Balance as at April 01, 2015 (101.54)

Balance as at March 31, 2016 (101.54)

Balance as at March 31, 2017 (C) (101.54)

Securities premium (` in crore)

Balance as at April 01, 2015 7,658.71

Add: received during the year on issue of equity shares (refer note 14(g)) 1,308.37

Add: securities premium towards conversion of CCPS into equity shares (refer note 14(c)) 1,062.66

Less: utilised towards share issue expenses (18.76)

Balance as at March 31, 2016 10,010.98

Balance as at March 31, 2017 (D) 10,010.98

Debenture redemption reserve (‘DRR’)1 (` in crore)


Add: amount transferred from the surplus balance in the standalone statement of profit and loss 38.49

Less: amount transferred to the surplus balance in the standalone statement of profit and loss (34.38)


Add: amount transferred from the surplus balance in the standalone statement of profit and loss 29.89

Less: amount transferred to the surplus balance in the standalone statement of profit and loss (28.13)

Balance as at March 31, 2017 (E) 127.20

General reserve (` in crore)



Balance as at March 31, 2017 (F) 40.62

Capital reserve2 (` in crore)

Balance as at April 01, 2015 -

Add: transfer on forfeiture of equity share warrants 141.75


Balance as at March 31, 2017 (G) 141.75

FCMTR (refer note 16(20) ) (` in crore)

Balance as at April 01, 2015 -

Add: Exchange difference on FCCB recognised during the year (0.88)


Add: Exchange difference on FCCB recognised during the year 35.07

Less: FCMTR amortisation during the year (0.76)

Balance as at March 31, 2017 (H) 33.43

Money received against share warrants2 (` in crore)


Less: transfer on forfeiture of equity share warrants (141.75)

Balance as at March 31, 2016 -

Balance as at March 31, 2017 (I) -

Retained earnings (` in crore)


Profit/ (loss) for the year (1,720.24)

Add: Amount transferred from debenture redemption reserve 34.38

Less: Transfer to debenture redemption reserve (38.49)




Less: Remeasurement of post-employment benefits obligations (0.51)


Profit/ (loss) for the year (3,684.11)

Add: Amount transferred from debenture redemption reserve 28.13

Less: Transfer to debenture redemption reserve (29.89)

Less: Remeasurement of post-employment benefits obligations (0.83)

Balance as at March 31, 2017 (J) (4,472.77)

Total retained earnings (A+B+C+D+E+F+G+H+I+J)

Balance as at April 01, 2015 9,823.26



1. The Company has issued redeemable non-convertible debentures. Accordingly, the Companies (Share capital and Debentures) Rules, 2014 (as amended),

require the Company to create DRR out of profits of the Company available for payment of dividend. DRR is required to be created for an amount which

is equal to 25% of the value of debentures issued over the life of the debentures issued.

2. On July 02, 2014, the Board of Directors of the Company approved an issue and allotment of up to 180,000,000 warrants having an option to apply for

and be allotted equivalent number of equity shares of face value of Re.1 each on a preferential basis under chapter VII of the SEBI ICDR Regulations and

provisions of all other applicable laws and regulations and accordingly the Company received an advance of ` 141.75 crore against such share warrants.

The shareholders approved the aforesaid issue of warrants through postal ballot on August 12, 2014. Pursuant to the approval of the Management

Committee of the Board of Directors dated February 26, 2016 the outstanding warrants have been cancelled as the holder did not exercise the option

within the due date of 18 months from the date of allotment, and ` 141.75 crore received as advance towards such warrants has been forfeited in

accordance with the SEBI ICDR Regulations during the year ended March 31, 2016. The said amount has been credited to Capital Reserve account during

the year ended March 31, 2016.

16. Financial liabilities - Borrowings (` in crore

Non-current Current


Debentures / Bonds

10,000 (March 31, 2016: 10,000; April 1, 2015: 10,000) 0% redeemable and

non-convertible debentures of ` 717,500

each (March 31, 2016: ` 830,000; April 1,

2015: ` 9,67,500) (secured)1

565.66 713.62 861.95 148.67 110.83 98.30

6 (March 31, 2016: 6; April 1, 2015: Nil) 7.5% Foreign Currency Convertible Bonds (‘FCCBs’) of USD 50,000,000 (March 31, 2016: USD 50,000,000; April 1, 2015: Nil) each (unsecured)20

1,930.14 1,962.56 - - - -

Term Loans

From banks

Indian rupee term loans (secured)6,7,8,9,10,11,17,18,19,24,26 1,052.37 821.97 582.47 385.30 42.56 140.10

Indian rupee term loans (unsecured)5,13 497.44 525.30 554.55 29.74 29.25 397.34

From financial institutions

Indian rupee term loans (secured)15,16 137.69 191.65 221.91 53.95 30.69 8.18

Indian rupee term loans (unsecured)2,3,4 787.71 907.80 1,006.50 120.46 99.04 98.95

Liability component of compound financial instrument

Convertible preference shares (unsecured) (refer note 14(c))

- - 1,070.48 - - -

Others




Non-current Current


Loans from others (secured)12 0.06 0.12 0.18 0.06 0.05 0.05

Loan from a group company (unsecured)14,23 (Refer note 33)

120.44 68.63 75.97 25.19 7.34 2.71

Bank Overdraft (secured)21 - - - 76.31 77.45 78.03

Intercorporate deposits from related parties repayable on demand (unsecured)22,27 (Refer note 33)

- - - 36.57 60.07 68.03

5,091.51 5,191.65 4,374.01 876.25 457.28 891.69

The above amount includes

Secured borrowings 1,755.78 1,727.36 1,666.51 664.29 261.58 324.66

Unsecured borrowings 3,335.73 3,464.29 2,707.50 211.96 195.70 567.03

Less: amount clubbed under “Other financial liabilities” (refer note 18)

- - - (763.37) (319.76) (745.63)

Total financial liabilities - borrowings 5,091.51 5,191.65 4,374.01 112.88 137.52 146.06

1. During the year ended March 31, 2012, the Company had entered into an agreement to issue 7,000 secured, redeemable, non convertible debentures of

` 1,000,000 each to ICICI Bank Limited ('ICICI') ('Tranche 1'). During the year ended March 31, 2013 the Company had further entered into an agreement

with ICICI to issue 3,000 secured, redeemable, non convertible debentures of ` 1,000,000 each ('Tranche 2'). These debentures are secured by way of

(i) first pari passu charge over 998 acres of land held by GKSEZ (ii) subservient charge on 8,236 acres of SEZ land held by KSPL (iii) first exclusive charge

over Debt Service and Reserve Account ('DSRA') maintained by the Company with ICICI and (iv) second ranking pledge over 30% of fully paid-up equity

shares of ` 10 each of GGAL. These debentures are redeemable at a premium yielding 14.50% p.a. till March 25, 2013 and after March 25, 2013 with a

yield of base rate of ICICI plus 4.50% p.a. The Tranche 1 is redeemable in thirty seven quarterly unequal instalments commencing from March 25, 2012

and Tranche 2 is redeemable in thirty six quarterly unequal instalments commencing from June 25, 2012. As at March 31, 2017, the Company has partially

redeemed these debentures and the revised face value of these debentures after redemption is ` 717,500 (March 31, 2016: ` 830,000; April 1, 2015:

` 967,500) per debenture and the carrying value of outstanding debentures is ` 714.33 crore (March 31, 2016: ` 824.45 crore; April 1, 2015: ` 960.25

crore). Further the lender has certain mandatory prepayment rights as per the terms of the agreements, including amendments thereof.

2. Indian rupee term loan from a financial institution of ` 149.82 crore (March 31, 2016: `149.69 crore; April 1, 2015: ` 149.57 crore) carries interest @

12.00% p.a. (March 31, 2016 and April 1, 2015: 12.00% p.a) payable on a quarterly basis. The loan is repayable in seven equal annual instalments

commencing at the end of four years from the date of first disbursement. The loan is secured by exclusive first charge on land held by GKSEZ.

3. Indian rupee term loan from a financial institution of ` 498.61 crore (March 31, 2016: ` 597.65 crore; April 1, 2015: ` 696.60 crore) carries interest

@ 11.75% p.a. (March 31, 2016 and April 1, 2015: 11.75% p.a.) payable on a half yearly basis. The loan is repayable in ten equated annual instalments

commencing from December 2012. The loan is secured by a first pari passu charge on 8,236 acres of land held by KSPL.

4. Indian rupee term loan from a financial institution of ` 259.74 crore (March 31, 2016: ` 259.50 crore; April 1, 2015: ` 259.28 crore) carries interest

@ 12.15% p.a. (March 31, 2016 and April 1, 2015: 12.15% p.a.) payable on a quarterly basis. The loan is repayable in six equal annual instalments

commencing at the end of five years from the date of first disbursement. The loan is secured by an exclusive first charge on certain immovable

properties located in the State of Andhra Pradesh ('AP') owned by Namitha Real Estate Private Limited (NREPL), a subsidiary of the Company, Corporate

Infrastructure Services Private Limited, a fellow subsidiary, Varalaxmi Jute & Twine Mills Private Limited , Vijay Niwas Real Estates Private Limited and

Smt. G. Varalakshmi.

5. Indian rupee term loan from a bank of ̀ 1,000.00 crore carries interest @ base rate of lender plus spread of 4.75% p.a. (March 31, 2016 and April 1, 2015:

4.75% p.a.) payable on a monthly basis. The loan is secured by (i) first pari passu charge on 998 acres of land held by GKSEZ. (ii) subservient charge on

8,236 acres of SEZ land held by KSPL and (iii) pledge of 30% equity shares of GCHEPL held by GGAL. There were certain mandatory prepayment events

agreed with the bank including further issue of equity shares / divestments of stake in certain entities. Accordingly, the Company had prepaid ` 300

crore during the year ended March 31, 2016 and ` 200 crore during the year ended March 31, 2015. Out of the above, ` 482.43 crore is outstanding as

on March 31, 2017 (March 31, 2016: ` 480.56 crore; March 31, 2015: ` 783.34 crore). The loan is repayable in twelve structured quarterly instalments

commencing from April 25, 2021 and ending on January 25, 2024 as per the revised agreement dated May 27, 2016. Further the lender has certain

mandatory prepayment rights as per the terms of the agreements, including amendments thereof.




6. Indian rupee term loan from a bank of ` 214 crore (March 31, 2016: Nil; April 1, 2015: Nil) carries interest @ the lender's Marginal Cost of Funds based

Lending Rate of 1Y (I-MCLE-1Y) plus spread of 4.55% p.a. (March 31, 2016 and April 1, 2015: Nil) and interest is payable on a monthly basis. The loan is

secured by (i) first pari passu charge over 998 acres of land held by GKSEZ (ii) subservient charge on 8,236 acres of SEZ land held by KSPL (iii) charge

over Dividend / Interest Escrow Account of the Company into which all dividends and/or interest receivable by the Company from GEL and GGAL would

be deposited and (iv) first ranking pledge/NDU over 49% of equity shares of GGAL. Out of the above, ` 183.25 crore is outstanding as on March 31, 2017

(March 31, 2016: ` Nil; April 1, 2015: Nil). The loan is repayable in eighteen structured quarterly instalments commencing from December 25, 2016 and

ending on March 25, 2021. Further the lender has certain mandatory prepayment rights as per the terms of the agreements, including amendments

thereof.

7. Indian rupee term loan from a bank of ̀ 200.00 crore (March 31, 2016: ̀ 200.00 crore; April 1, 2015: ̀ 200.00 crore) carries interest @ base rate of lender

plus spread of 1.50% p.a. (March 31, 2016 and April 1, 2015: base rate of lender plus spread of 1.50% p.a.) and interest is payable on a monthly basis. The

loan is secured by i) an exclusive charge on loans and advances provided by the Company out of this loan facility ii) DSRA covering interest payment of

one month and iii) securities as set out in note 25. Out of the above, ` 79.59 crore is outstanding as on March 31, 2017 (March 31, 2016: ` 125.82 crore;

April 1, 2015: ` 174.37 crore). The Company had prepaid ` 63.75 crore during the year ended March 31, 2016 received from the issue of FCCBs as detailed

in note 16(20). The loan is repayable in five equal quarterly instalments commencing from March 26, 2017 as per the revised agreement dated May 23,

2016. Further the lender has certain mandatory prepayment rights as per the terms of the agreements, including amendments thereof.

8. Indian rupee term loan from a bank of ` 193.76 crore (March 31, 2016: ` 206.84 crore; April 1, 2015: ` 223.62 crore) carries interest @ base rate of lender


loan is secured by i) residual charge over all current assets and movable fixed assets of the Company with negative lien ii) first charge over loans and

advances of the Company (excluding EPC division) to provide minimum cover of 1.25 times of the facility outstanding iii) first charge over cash flows of

GMRHL iv) DSRA covering interest payment for the first three months and v) securities as set out in note 25. There were certain mandatory prepayment

events agreed with the bank including further issue of equity shares/ divestments of stake in certain entities. Accordingly, the Company had prepaid

` 25.00 crore during the year ended March 31, 2016. The loan is repayable in six structured quarterly instalments commencing from March 26, 2017

as per the revised agreement dated May 23, 2016. Further the lender has certain mandatory prepayment rights as per the terms of the agreements,

including amendments thereof.

9. Indian rupee term loan from a bank of ` 60.35 crore ( March 31, 2016: ` 63.20 crore; April 1, 2015: ` 65.87 crore) carries interest @ base rate of lender


loan is secured by i) 10% of cash margin on the outstanding amount in the form of lien on fixed deposits in favour of the lender ii) an exclusive charge on

assets created out of this facility iii) corporate guarantee of GEPL and iv) securities as set out in note 25. The Company had prepaid ` 2.63 crore during

the year ended March 31, 2016 received from the issue of FCCBs as detailed in note 16(20). The loan is repayable in ten structured quarterly instalments

commencing from March 6, 2017 as per the revised agreement dated May 23, 2016. The bank has a put option for full or part of the facility amount at the

end of thirty six months from the date of first disbursement and every three months thereafter. Further the lender has certain mandatory prepayment

rights as per the terms of the agreements, including amendments thereof.

10. Indian rupee term loan from a bank of ` 117.07 crore (March 31, 2016: `120.00 crore; April 1, 2015: ` 120.00 crore) carries interest @ base rate of lender

plus spread of 1.50% p.a. (March 31, 2016 and April 1, 2015: base rate of lender plus spread of 1.50% p.a) and interest is payable on a monthly basis.

The loan is secured by i) 10% of cash margin on the outstanding amount in the form of lien on fixed deposits in favour of the lender ii) charge on assets

created out of this facility and iii) securities as set out in note 25. The loan is repayable in eight equal quarterly instalments commencing from January

27, 2018 as per the revised agreement dated May 23, 2016. The bank has a put option for full or part of the facility amount at the end of eighteen months

from the date of first disbursement and every three months thereafter. Further the lender has certain mandatory prepayment rights as per the terms

of the agreements, including amendments thereof.

11. Indian rupee term loan from a bank of ` 82.44 crore (March 31, 2016: ` 87.08 crore; April 1, 2015: ` 90.00 crore) carries interest @ base rate of lender


loan is secured by i) 10% of cash margin on the outstanding amount in the form of lien on fixed deposits in favour of the lender ii) an exclusive charge on

assets created out of underlying facility by GISPL in favour of lender approved correspondent bank iii) second charge on cash flows of GISPL from coal

trading under Coal Sales and Purchase Agreement with GCRPL iv) exclusive charge on loans given to GEL v) DSRA covering interest payment for the next

three months and vi) securities as set out in note 25. The Company had prepaid ` 2.03 crore during the year ended March 31, 2016 received from the

issue of FCCBs as detailed in note 16(20). The loan is repayable in fourteen unequal semi-annually instalments commencing after twelve months from

the date of first disbursement. Further the lender has certain mandatory prepayment rights as per the terms of the agreements, including amendments

thereof.




12. Vehicle loan from others of ` 0.12 crore (March 31, 2016: ` 0.17 crore; April 1, 2015: ` 0.23 crore) carries interest @10.33% p.a. (March 31, 2016 and April

1, 2015: @10.33% p.a) and interest is payable on a monthly basis. The loan is repayable in sixty equal monthly instalments commencing from April, 2014

and is secured by vehicle taken on loan.

13. Indian rupee term loan from a bank of ` 500.00 crore (March 31, 2016: ` 500.00 crore; April 1, 2015: ` 500.00 crore) carries interest at base rate of

lender plus applicable spread of 3.25% p.a (March 31, 2016 and April 1, 2015: base rate of lender plus applicable spread of 3.25% p.a.) and the interest

is payable on a monthly basis. The loan is secured by an exclusive first mortgage and charge on i) residential property of Mr. G.B.S Raju, Director at

Bangalore ii) certain immovable properties of Boyance Infrastructure Private Limited ('BIPL') iii) non agricultural land of Hyderabad Jabilli Properties

Private Limited ('HJPPL') at Andhra Pradesh iv) non agricultural lands of Mr. G.M. Rao, Executive Chairman and v) commercial apartment owned by

Honey Flower Estates Private Limited ('HFEPL') and additionally secured by a) an irrevocable and unconditional guarantee of BIPL and HJPPL limited

to the extent of the value of their property as stated aforesaid b) an irrevocable and unconditional guarantee of GEPL, BIPL and HFEPL and c) demand

promissory note equal to principal amount of the loan and interest payable on the loan given by the Company. The Company had prepaid ` 60.79 crore

during the year ended March 31, 2016 from the funds received from issue of right shares as detailed in note 14(g). Out of the above, ` 44.75 crore

is outstanding as on March 31, 2017 (March 31, 2016: ` 73.99 crore; April 1, 2015: ` 168.55 crore). The loan is repayable in thirteen equal quarterly

instalments starting July 1, 2015 as per the revised agreement dated April 10, 2015. Further the lender has certain mandatory prepayment rights as per

the terms of the agreements, including amendments thereof.

14. Loan of ` 100.00 crore (March 31, 2016: `100.00 crore; April 1, 2015: ` 100.00 crore) from its subsidiary, GADL carries interest @ 12.70% p.a. (March

31, 2016: 12.70% p.a.; April 1, 2015: 12.95% p.a) and is payable on a monthly basis. The loan is to be prepaid on the occurrence of any liquidity event as

per the terms of the agreement or repayable in twenty eight structured quarterly instalments commencing from December 23, 2013. Out of the above,

` 78.13 crore is outstanding as on March 31, 2017 (March 31, 2016: ` 75.97 crore; April 1, 2015: ` 78.68 crore).

15. Indian rupee term loan from a financial institution of ̀ 50.00 crore (March 31, 2016: ̀ 50.00 crore; April 1, 2015: ̀ 50.00 crore) carries interest @ 14.75%

p.a. linked with SBR on reducing balance (March 31, 2016 and April 1, 2015: 14.75% p.a. linked with SBR on reducing balance) and is payable on a monthly

basis. The loan is repayable in fifty seven monthly instalments commencing from April, 2014. The loan is secured by a charge on the assets taken on loan

by the Company. Out of the above, ` 19.26 crore is outstanding as on March 31, 2017 (March 31, 2016: ` 28.75 crore; April 1, 2015: ` 36.93 crore).

16. Indian rupee term loan from a financial institution of ` 200.00 crore (March 31, 2016: Rs 200.00 crore; April 1, 2015: ` 200.00 crore) carries interest

rate @ 14.25% p.a. (March 31, 2016: 14.25% p.a.; March 31, 2015: 14.25%) and is payable on a monthly basis. The loan is repayable in eighteen quarterly

instalments commencing from October, 2016. The loan is secured by way of i) first mortgage and charge on non-agriculture lands of SJK Powergen

Limited ('SJK') ii) pledge of 20,000,000 equity shares of Re. 1 each of the Company, held by GEPL and iii) pledge of such number of equity shares of `

10 each of GEL having book value of minimum of ` 400.00 crore held by the Company and in case of default of repayment of loan, the lender has the

right to convert the loan into equity. Out of the above, ` 172.38 crore is outstanding as on March 31, 2017 (March 31, 2016: ` 193.59 crore; April 1, 2015:

` 193.16 crore).

17. Vehicle loan from a bank of ` 0.23 crore (March 31, 2016: ` 0.38 crore; April 1, 2015: ` 0.50 crore) carries interest @ 10.00% p.a. (March 31, 2016 :

10.00% p.a; April 1, 2015: 10.00%) and the same is payable on a monthly basis. The loan is repayable in sixty equal monthly instalments commencing

from October 01, 2013 and is secured by the vehicle taken on loan.

18. Indian rupee term loan from a bank of ` Nil (March 31, 2016: Nil; April 1, 2015: ` 48.21 crore) carried interest @ base rate of lender plus spread of 0.85%

p.a. payable on a monthly basis. The loan was secured by i) 10% of cash margin on the outstanding amount in the form of lien on fixed deposits in favour

of the lender ii) exclusive charge on loans and advances provided by the Company created out of this facility. The loan was repayable in 6 equal quarterly

instalments commencing from March 31, 2014 and was repaid during the year ended March 31, 2016.

19. Indian rupee term loan from a bank of ` 300.00 crore (March 31, 2016: ` 300 crore; April 1, 2015: Nil) carries interest @ base rate of lender plus spread

of 0.50% p.a. (March 31, 2016: base rate of lender plus spread of 0.50% p.a.) and interest is payable on a monthly basis. The loan is secured by i) 10%

DSRA in the form of lien on fixed deposits in favor of the lender ii) Exclusive first charge on assets provided by the Company created out of this facility

and iii) securities as set out in note 25. The loan is repayable in fourteen structured quarterly instalments commencing from January 15, 2017 as per the

revised agreement dated May 23, 2016. The Company had prepaid ` 15.00 crore during the year ended March 31, 2016 received from the issue of FCCBs

as detailed in note 16(20). Out of the above, ` 253.73 crore is outstanding as on March 31, 2017 (March 31, 2016: ` 261.21 crore; April 1, 2015: Nil). Further

the lender has certain mandatory prepayment rights as per the terms of the agreements, including amendments thereof.

20. Pursuant to the approval of the Management Committee of the Board of Directors dated December 10, 2015, the Company has issued 7.50% Unlisted

FCCBs of USD 30.00 crore to Kuwait Investment Authority with a maturity period of 60 years. The subscriber can exercise the conversion option on and

after 18 months from the closing date upto close of business on maturity date. Interest is payable on an annual basis. The FCCBs are convertible at ` 18




per share which can be adjusted downwards at the discretion of the Company, subject to the regulatory floor price. The exchange rate for conversion

of FCCBs is fixed at ` 66.745/USD. The Company needs to take necessary steps incase the bondholders direct the Company to list the FCCBs on the

Singapore Exchange Trading Limited. Also refer note 13(9).

21. Bank overdraft amounting to ` 76.31 crore (March 31, 2016: ` 77.45 crore and April 1, 2015: ` 78.03 crore) is secured by first charge on current assets of

the EPC division of the Company and lien on fixed deposits with banks and carries an interest ranging between 13.00% to 13.75% p.a. (March 31, 2016

and April 1, 2015: 13.00% to 13.75% p.a.).

22. During the year ended March 31, 2013, the Company had acccepted intercorporate deposit of ` 150.00 crore from its subsidiary, GAL, carrying an

interest at 11.75% p.a. The outstanding loan of ` 68.00 crore as at April 1, 2015 had been repaid in full on April 28, 2015. During the year ended March

31, 2016, the Company had accepted intercorporate deposit of ` 60.00 crore from GAL, carrying an interest @ 12.50% p.a. payable on a monthly basis.

The loan was repaid during the year ended March 31, 2017. During the year ended March 31, 2017, the Company obtained a loan of ` 60.00 crore from

GAL carrying an interest @ 10.00% p.a. (March 31, 2016 and April 1, 2015: Nil) payable on a monthly basis. Of the above, ` 36.50 crore is outstanding as

on March 31, 2017 (March 31, 2016 and April 1, 2015: Nil).

23. During the year ended March 31, 2017, the Company has accepted interest bearing security deposit of ` 75.00 crore from its subsidiary, Raxa Security

Services Limited ('Raxa'), carrying an interest @ 11.35% p.a. (March 31, 2016: Nil; April 1, 2015: Nil) payable on a monthly basis. Out of the above, ` 67.50

crore is outstanding as on March 31, 2017 (March 31, 2016: Nil; April 1, 2015: Nil). The deposit is repayable on discharge of all performance obligations

of Raxa under the long term service agreements entered into with the Company and other group companies.

24. Indian rupee term loan from a bank of ` 500.00 crore (March 31, 2016: Nil; April 1, 2015: Nil) carries interest @ lender's marginal cost of funds based

lending rate ('MCLR') plus spread of 1.45% p.a. (March 31, 2016 and April 1, 2015: Nil) and interest is payable on a monthly basis. The loan is secured by

i) first charge on assets created out of this facility ii) 10% of cash margin on the outstanding amount in the form of lien on fixed deposits in favour of the

lender and iii) securities as set out in note 25. The loan is repayable in twenty eight structured quarterly instalments commencing from October, 2017.

Of the above ` 500.00 crore, ` 378.00 crore is outstanding as on March 31, 2017 (March 31, 2016: Nil; April 1, 2015: Nil). Further the lender has certain

mandatory prepayment rights as per the terms of the agreements, including amendments thereof.

25. Securities for the facilities mentioned in note nos. 7,8,9,10,11,19 & 24

a) First charge over 30% pledge of shares of Raxa Security Services Limited and 70% shares under NDU arrangement to be kept in lender's demat

account.

b) Charge over 30% pledge of shares of GGAL.

c) Mortgage on Andhra Pradesh land (piece and parcel of the property admeasuring 557.76 acres in aggregrate of land situated at Kothavalasa,

Viziangaram District of Andhra Pradesh).

d) Pledge over 30% shares of GMRHL held by the Company.

e) Undertaking from the Company to hold majority stake in GMRHL.

f) Pledge/charge on the advances/CCPS invested by GISPL in GCRPL in favour of lender/ lender approved correspondent bank.

g) Pledge of 12% of Delhi Duty Free Services Private Limited (DDFS) free shares held by GAL.

h) Mortgage on office space at Bandra Kurla Complex, Mumbai.

i) Pledge of 30% shares of GPCL.

j) NDU of 21% shareholding of GPCL.

k) First charge over properties located at Rajam Mandal, Srikakulam District, Andhra Pradesh or equivalent cash margin.

26. Indian rupee term loan from a bank of ` 89.25 crore (March 31, 2016 and April 1, 2015: Nil) carries interest @ lender's MCLR plus spread of 5.00% p.a.

payable on a monthly basis. The loan is secured by a first mortgage and charge on 180 acres of land or such additional land held by GKSEZ to give a

minimum cover equivalent to the facility amount. The loan is repayable in eighteen equal monthly instalments commencing from the end of six months

from October 26, 2016.

27. The Company had taken a short term loan from GEPL which is interest free and is repayable on demand. Out of the above, ` 0.07 crore is outstanding

as on March 31, 2017 (March 31, 2016: ` 0.07 crore; April 1, 2015: ` 0.03 crore).




28. The period and amount of default as on the balance sheet date with respect to above mentioned borrowings are as follows:

Particulars Nature March 31, 2017

` in crore

March 31, 2016

` in crore

March 31, 2015

` in crore

Period of Default

(No. of Days)

Indian Rupee term loans from financial institutions Payment of Interest 44.56 - - 0-60

Indian Rupee term loans from banks Payment of Interest 24.82 - - 0-60

Loan from a Group Company Payment of Interest 5.92 - - 0-210

Bank overdraft Payment of Interest 0.73 - - 0-30

Total 76.03 - -

17. Financial liabilities - Trade payables (` in crore)

Current


Trade payables 148.12 86.76 127.07

Trade payables to related parties (refer note 33) 14.36 13.21 27.32

Total trade payables 162.48 99.97 154.39

a) Based on information available with the Company, there are no suppliers who are registered as micro, small or medium enterprises under ‘The

Micro, Small and Medium Enterprises Development Act, 2006' as at March 31, 2017, March 31, 2016 and April 1, 2015.

b) Terms and conditions of the above financial liabilities:

- Trade payables are non-interest bearing

- For explanations on the Company’s credit risk management processes, refer note 37 (c)

- The dues to related parties are unsecured.

18. Other financial liabilities (` in crore)

Current


Financial liabilities through profit or loss

Derivatives not designated as hedges

Foreign exchange forward contracts3 1.57 0.21 -

1.57 0.21 -

Other financial liabilities at amortised cost

Current maturities of long term borrowings (refer note 16) 763.37 319.76 745.63

Interest accrued but not due on borrowings (refer note 33) 57.10 67.96 19.98

Interest accrued and due on borrowings (refer note 33) 76.03 - -

Book overdraft - - 22.76

Share application money refund [` 22,563 (March 31, 2016: ` 22,563)

(April 1, 2015: ` Nil)]2 0.00 0.00 -

Retention money1 57.07 47.86 58.14

Non trade payable (refer note 33) 3.39 8.93 10.43

Payable to group companies (refer note 33) 10.26 158.78 151.30

967.22 603.29 1,008.24

Financial guarantee contracts 118.15 93.56 114.41

Total other financial liabilities 1,086.94 697.06 1,122.65

1. Retention money is payable on the completion of the contracts or after the completion of the defect liability period as defined in the respective

contracts.

2. During the year ended March 31, 2016, ` 22,563 was received as excess share application money received against rights issue which is pending to be

refunded.

3. While the Company entered into other foreign exchange forward contracts with the intention of reducing the foreign exchange risk of expected repayment

of interest, these contracts are not designated in hedge relationships and are measured at fair value through profit or loss.




19(a) Net employee defined benefit liabilities(` in crore)

Long-term Short-term


Provision for employee benefits

Provision for compensated absences - - - 6.76 5.39 4.94

Provision for gratuity (refer note 34) 2.74 2.74 1.74 0.63 0.65 0.69

Provision for other employee benefits - - - 8.21 7.13 4.46

2.74 2.74 1.74 15.60 13.17 10.09

19(b) Other provisions(` in crore)

Long-term Short-term


Provision for debenture redemption premium - - - 1.91 2.20 2.69

- - - 1.91 2.20 2.69

20. Other liabilities(` in crore)

Non-Current Current


Advance from customers 122.96 140.52 22.72 288.01 167.79 71.44

Unclaimed dividend - - - 0.27 0.27 0.27

TDS payable - - - 6.35 6.03 4.47

Other statutory dues - - - 1.70 1.61 3.08

Total other liabilities 122.96 140.52 22.72 296.33 175.70 79.26

21. Liabilities directly associated with the asset classified as held for disposal(` in crore)

Current


Advance sale consideration towards assets held for disposal 25.23 7.17 -

Total 25.23 7.17 -

22. Revenue from operations(` in crore)

March 31, 2017 March 31, 2016

a) Sale of services:

Engineering, Procurement and Constrution (‘EPC’):

Construction revenue (refer note 33) 392.77 178.01

392.77 178.01

b) Other operating revenue:

Income from management and other services 4.60 14.31

Dividend income on current investments (gross) ` 10,732 (March 31, 2016: ` 10,732) 0.00 0.00

Profit on sale of current investments (others) 4.73 1.30

Interest Income:

Bank deposits 22.74 63.65

Long term loans and investments (refer note 33) 754.93 981.89

Current investments - 0.01

787.00 1,061.16

Total 1,179.77 1,239.17




23. Other income(` in crore)

March 31, 2017 March 31, 2016

Gain on account of foreign exchange fluctuations (net) - 2.24

Provisions no longer required, written back - 8.42

Other non-operating income 2.65 6.02

2.65 16.68

24. Cost of materials consumed(` in crore)

March 31, 2017 March 31, 2016

Inventory at the beginning of the year 8.73 4.55

Add: Purchases 170.08 31.75

178.81 36.30

Less: Inventory at the end of the year (65.74) (8.73)

Cost of materials consumed 113.07 27.57

25. Employee benefits expenses*(` in crore)

March 31, 2017 March 31, 2016

Salaries, wages and bonus 43.80 33.89

Contribution to provident and other funds (refer note 34(a)) 3.01 2.62

Gratuity expenses (refer note 34(b)) 0.26 0.15

Staff welfare expenses 5.04 2.10

52.11 38.76

*Employee benefit expenses are net of ` 39.07 crore (March 31, 2016: ` 34.13 crore) cross charged to certain subsidiaries.

26. Finance costs*(` in crore)

March 31, 2017 March 31, 2016

Interest on debt and borrowings 722.43 676.45

Bank charges 22.27 31.76

Other borrowing costs 0.04 0.10

744.74 708.31

* Finance costs are net of ` 0.40 crore (March 31, 2016: ` 0.04 crore) cross charged to certain subsidiaries.

27. Depreciation and amortization expenses(` in crore)

March 31, 2017 March 31, 2016

Depreciation of tangible assets (refer note 3) 14.89 14.80

Amortization of other intangible assets (refer note 4) 1.24 0.97

16.13 15.77




28. Other expenses*(` in crore)

March 31, 2017 March 31, 2016

Bad debts written off 7.15 0.14

Provision for doubtful debts 8.98 11.13

Lease rental and equipment hire charges 19.96 4.33

Rates and taxes 14.97 8.22

Repairs and maintenance 5.34 3.18

Freight 4.64 3.16

Travelling and conveyance 5.49 3.06

Printing and stationery 1.24 1.50

Logo fees (refer note 33)(March 31, 2017: ` 1,000 and March 31, 2016: `107,006) 0.00 0.01

Legal and professional fees 21.91 15.38

Payment to auditors (refer details below) 2.67 2.92

Directors’ sitting fees 0.28 0.39

Security expenses 7.97 1.00

Donation 0.02 0.06

Corporate social responsibility expenditure** 0.07 -

Loss on sale of fixed assets - 0.03

Loss on account of foreign exchange fluctuations (net) 9.10 -

Fair value loss on financial instruments at fair value through profit or loss 1.36 0.21

Miscellaneous expenses 2.96 2.86

Total other expenses 114.11 57.58

* Other expenses are net of ` 64.16 crore (March 31, 2016: ` 86.56 crore) cross charged to certain subsidiaries.

** CSR expenditure:

(a) Gross amount required to be spent by the Company during the year: ` Nil (March 31,2016: ` Nil)

(b) The Company has incurred ` 0.07 crore (March 31, 2016: ` Nil) on CSR activities during the year 2016-17.

a) Payment to auditors (exclusive of service tax and swachh bharat cess)(` in crore)

March 31, 2017 March 31, 2016

As auditor:

Audit fee (including fees for internal controls over financial reporting, consolidated financial statements of the Company and quarterly limited reviews)

2.37 2.12

Tax audit fees 0.04 0.04

In other capacity

Other Services (including certification fees)*# 0.02 0.54

Reimbursement of expenses 0.24 0.22

2.67 2.92

* The above amount excludes payment to auditors amounting to ` Nil (March 31, 2016: ` 1.03 crore for services rendered on account of issue of right

shares as detailed in note 14(g), which has been adjusted against the securities premium account).

# The above amount excludes payment to auditors amounting to ` Nil (March 31, 2016: ` 0.52 crore for services rendered on account of issue of foreign

currency convertible bonds as detailed in note 16(20).

29. Exceptional items (net)(` in crore)

March 31, 2017 March 31, 2016

Provision for diminution in the value of investments / advances in subsidiaries/ associates/ joint ventures (refer note below)

(3,654.16) (2,015.73)

(3,654.16) (2,015.73)

Note: Refer note 5(4), 5(9), 5(13), 5(14) and 5(16) with regard to provision for diminution in the value of investments/ advances made in GEL, GREEL, GMRHL and their subsidiaries/ associates/joint ventures.




30. Income Tax

The Company is subject to income tax in India on the basis of standalone financial statements. As per the Income Tax Act, the Company is liable to pay income tax which is the higher of regular income tax payable or the amount payable based on the provisions applicable for Minimum Alternate Tax (MAT).

MAT paid in excess of regular income tax during a year can be carried forward for a period of 15 years and can be offset against future tax liabilities.

Business loss can be carried forward for a maximum period of eight assessment years immediately succeeding the assessment year to which the loss pertains. Unabsorbed depreciation can be carried forward for an indefinite period.

Income tax expenses in the statement of profit and loss consist of the following:(` in crore)

March 31, 2017 March 31, 2016

(a) Current tax 10.20 23.88

(b) Deferred tax - -

(c) Minimum alternate tax credit entitlement (10.11) (9.21)

Total taxes 0.09 14.67

Reconciliation of taxes to the amount computed by applying the statutory income tax rate to the income before taxes is summarized below:

(` in crore)

March 31, 2017 March 31, 2016

Profit before taxes (3,684.02) (1,705.57)

Applicable tax rates in India 34.608% 34.608%

Computed tax charge (1,274.97) (590.26)

Tax effect on exempted income (166.06) (107.74)

Tax effect on permanent non deductible expenses :

Disallowance on account of Sec 14 A of Income Tax Act 23.99 23.65

Others 8.78 21.85

Tax effect of expenses on which deferred taxes has not been accounted

Taxable losses 140.52 (38.86)

Long term capital losses 1,264.64 697.60

Others 3.19 8.43

Total tax expenses 0.09 14.67

31. Earnings per share (EPS)

Basic EPS amounts are calculated by dividing the profit/ loss for the year attributable to equity shareholders of the Company by the weighted average number

of equity shares outstanding during the year. Partly paid equity shares are treated as a fraction of an equity share to the extent that they were entitled to

participate in dividends relative to a fully paid equity share during the reporting period. The weighted average number of equity shares outstanding during

the period is adjusted for events such as bonus issue, bonus element in a rights issue, share split, and reverse share split (consolidation of shares) that have

changed the number of equity shares outstanding, without a corresponding change in resources.

Diluted EPS amounts are calculated by dividing the profit attributable to equity shareholders (after adjusting for interest on the convertible securities) by the

weighted average number of equity shares outstanding during the year plus the weighted average number of equity shares that would be issued on conversion

of all the dilutive potential equity shares into equity shares.

The following reflects the income and share data used in the basic and diluted EPS computations:

(` in crore)

Particulars March 31, 2017 March 31, 2016

Face value of equity shares (Re. per share) 1 1

Profit/ (loss) attributable to equity shareholders (3,684.11) (1,720.24)

Weighted average number of equity shares used for computing earning per share (basic and diluted) 6,017,945,475 5,645,023,712

EPS- basic and diluted (`) (6.12) (3.05)




Notes:

(i) Refer note 14(c) pertaining to the terms / rights attached to CCPS. Considering that the Company has incurred losses during the year ended March 31,

2016, the allotment of conversion option in case of CCPS would decrease the loss per share for the year ended March 31, 2016 and accordingly has been

ignored for the purpose of calculation of diluted earnings per share

(ii) Refer note 14(g) as regards further issue of shares during the year ended March 31, 2016.

(iii) Considering that the Company has incurred losses during the year ended March 31, 2017 and March 31, 2016, the allotment of conversion option in case

of FCCBs would decrease the loss per share for the respective years and accordingly has been ignored for the purpose of calculation of diluted earnings

per share. Management has computed diluted EPS using ` 18 per share as fair market value for computing the number of equity shares which would be

issued on the conversion of FCCB.

(iv) Weighted average number of equity shares used for computing earning per share (basic and diluted) have been adjusted for 17,999,800 treasury shares

held by GWT as detailed in note 6.

32. Significant accounting judgements, estimates and assumptions

The preparation of the Company's standalone financial statements requires management to make judgements, estimates and assumptions that affect

the reported amount of revenues, expenses, assets and liabilities, and the accompanying disclosures, and the disclosure of contingent liabilities.

Actual results could differ from those estimates. Estimates and underlying assumptions are reviewed on an ongoing basis. Uncertainty about these

assumptions and estimates could result in outcomes that require a material adjustment to the carrying amount of assets or liabilities affected in future

periods.

The estimate and the underlying assumptiones are reviewed on an ongoning basis. Revisions to accounting estimates are recognised in the period in

which are estimate is revised and future periods affected.

Significant judgements and the estimates relating to the carrying values of assets and liabilities include impairment of investments in subsidiaries joint

ventures and associates, provision for employee benefits and others provisions, recoverability of deferred tax assets, commitments and contingencies

and fair value measurements of investments.

i) Estimates and assumptions

The key assumptions concerning the future and other key sources of estimation uncertainty at the reporting date, that have a significant risk of causing

a material adjustment to the carrying amounts of assets and liabilities within the next financial year, are described below. The Company based its

assumptions and estimates on parameters available when the financial statements were prepared. Existing circumstances and assumptions about

future developments, however, may change due to market changes or circumstances arising that are beyond the control of the Company. Such changes

are reflected in the assumptions when they occur.

a. Taxes

Deferred tax assets are recognised for Mat Credit Entitlement to the extent that it is probable that taxable profit will be available against which

the same can be utilised. Significant management judgement is required to determine the amount of deferred tax assets that can be recognised,

based upon the likely timing and the level of future taxable profits together with future tax planning strategies. Refer note 10 and 30 for further

disclosures.

b. Fair value measurement of financial instruments

When the fair values of financial assets and financial liabilities recorded in the balance sheet cannot be measured based on quoted prices in

active markets, their fair value is measured using valuation techniques including the DCF model. The inputs to these models are taken from

observable markets where possible, but where this is not feasible, a degree of judgement is required in establishing fair values. Judgements

include considerations of inputs such as liquidity risk, credit risk and volatility. Changes in assumptions about these factors could affect the

reported fair value of financial instruments. Refer note 37 for further disclosures.

c. Contingencies

Contingent liabilities may arise from the ordinary course of business in relation to claims against the Company, including legal and contractual

claims. By their nature, contingencies will be resolved only when one or more uncertain future events occur or fail to occur. The assessment of the

existence, and potential quantum, of contingencies inherently involves the exercise of significant judgement and the use of estimates regarding

the outcome of future events.




In respect of financial guarantees provided by the Company to third parties, the Company considers that it is more likely than not that such an

amount will not be payable under the guarantees provided. Refer note 36 for further disclosure.

d. Revenue recognition

The Company uses the percentage of completion method in accounting for its fixed price contracts. Use of the percentage of completion method

requires the Company to estimate the costs incurred till date as a proportion of the total cost to be incurred. Costs incurred have been used

to measure progress towards completion as there is a direct relationship. Provision for estimated losses, if any, on uncompleted contracts are

recorded in the period in which such losses become probable based on the expected contract estimates at the reporting date.

e. Defined benefit plans (gratuity benefits)

The cost of the defined benefit gratuity plan and the present value of the gratuity obligation are determined using actuarial valuations. An

actuarial valuation involves making various assumptions that may differ from actual developments in the future. These include the determination of the

discount rate, future salary increases and mortality rates. Due to the complexities involved in the valuation and its long-term nature, a defined benefit

obligation is highly sensitive to changes in these assumptions. All assumptions are reviewed at each reporting date.

The parameter most subject to change is the discount rate. In determining the appropriate discount rate for plans operated in India, the

management considers the interest rates of government bonds.

The mortality rate is based on publicly available mortality tables for India. Those mortality tables tend to change only at interval in response to

demographic changes. Future salary increases and gratuity increases are based on expected future inflation rates.

Further details about gratuity obligations are given in note 34.

ii) Significant judgements

a. Impairment of non current asset

Determining whether investment are impaired requires an estimation of the value in use of the individual investment or the relevant cash

generating units. The value in use calculation is based on DCF model over the estimated useful life of the power plants, concession on roads,

airports etc. Further, the cash flow projections are based on estimates and assumptions relating to conclusion of tariff rates, operational

performance of the plants and coal mines, life extension plans, availability and market prices of gas, coal and other fuels, restructuring of loans

etc in case of investments in entities in the energy business, estimation of passenger traffic and rates and favorable outcomes of litigations etc.

in the airport and expressway business which are considered as reasonable by the management (refer note 5).

b. Other significant judgements

i) Refer note 5(12) as regards the accounting of CCPS issued by GAL.

ii) Refer 5(6) and 5(9) as regard the recovery of claims in GHVEPL and GACEPL




33. Related parties

a) Names of related parties and description of relationship:

Description of relationship Name of the related parties

Holding Company GMR Enterprises Private Limited (GEPL) [w.e.f August 11, 2016]1

GMR Holdings Private Limited (GHPL) [till August 10, 2016]1

Subsidiary Companies GMR Generation Assets Limited (GGAL) [ formerly known as GMR Renewable Energy Limited (GREEL)]

GMR Energy Limited (GEL)4

GMR Power Corporation Limited (GPCL)

GMR Vemagiri Power Generation Limited (GVPGL)4

GMR Energy Trading Limited (GETL)

GMR (Badrinath) Hydro Power Generation Private Limited (GBHPL)4

GMR Mining and Energy Private Limited (GMEL)4

GMR Consulting Services Private Limited (GCSPL)4

GMR Rajahmundry Energy Limited (GREL) [ceased to be Subsidiary Company w.e.f May 13, 2016]5

SJK Powergen Limited (SJK)

GMR Coastal Energy Private Limited (GCEPL)

GMR Bajoli Holi Hydropower Private Limited (GBHHPL)4

GMR Chhattisgarh Energy Limited (GCHEPL) [ceased to be Subsidiary Company w.e.f February 23, 2017]5

GMR Londa Hydropower Private Limited (GLHPPL)

GMR Kakinada Energy Private Limited (GKEPL)

GMR Warora Energy Limited (GWEL) (Formerly EMCO Energy Limited (EMCO))4

Delhi International Airport Limited (DIAL) [formerly known as Delhi International Airport Private Limited]

Delhi Aerotropolis Private Limited (DAPL)

GMR Hyderabad International Airport Limited (GHIAL)

Hyderabad Menzies Air Cargo Private Limited (HMACPL)

Hyderabad Airport Security Services Limited (HASSL)

GMR Aerostructure Service Limited (GASL) [formerly GMR Hyderabad Airport Resource Management Limited (GHARML)]

GMR Hyderabad Aerotropolis Limited (HAPL)

GMR Hyderabad Aviation SEZ Limited (GHASL)

GMR Hyderabad Multiproduct SEZ Limited (GHMSL)

GMR Hotels and Resorts Limited (GHRL)

Gateways for India Airports Private Limited (GFIAL)

GMR Highways Limited (GMRHL)

GMR Tuni Anakapalli Expressways Limited (GTAEPL)

GMR Highways Projects Private Limited (GHPPL)

GMR Tambaram Tindivanam Expressways Limited (GTTEPL)

GMR Ambala Chandigarh Expressways Private Limited (GACEPL)

GMR Pochanpalli Expressways Limited (GPEPL)

GMR Hyderabad Vijayawada Expressways Private Limited (GHVEPL)

GMR Chennai Outer Ring Road Private Limited (GCORRPL)

GMR Kishangarh Udaipur Ahmedabad Expressways Limited (GKUAEL)

GMR Krishnagiri SEZ Limited (GKSEZ)





Advika Properties Private Limited (APPL)

Aklima Properties Private Limited (AKPPL)

Amartya Properties Private Limited (AMPPL)

Baruni Properties Private Limited (BPPL)

Camelia Properties Private Limited (CPPL)

Eila Properties Private Limited (EPPL)

Gerbera Properties Private Limited (GPL)

Lakshmi Priya Properties Private Limited (LPPPL)

Honeysuckle Properties Private Limited (HPPL)

Idika Properties Private Limited (IPPL)

Krishnapriya Properties Private Limited (KPPL)

Nadira Properties Private Limited (NPPL)

Prakalpa Properties Private Limited (PPPL)

Purnachandra Properties Private Limited (PUPPL)

Shreyadita Properties Private Limited (SPPL)

Sreepa Properties Private Limited (SRPPL)

Bougainvillea Properties Private Limited (BOPPL)

Honeyflower Estates Private Limited (HFEPL)

Namitha Real Estate Private Limited (NREPL)

GMR Gujarat Solar Power Private Limited (GGSPPL) 4

GMR Airports Limited (GAL)

GMR Corporate Affairs Private Limited (GCAPL)

GMR SEZ & Port Holdings Private Limited (GSPHPL)

GMR Aviation Private Limited (GAPL)

GMR Business Process and Services Private Limited (GBPSPL)

Dhruvi Securities Private Limited (DSPL)

Himtal Hydro Power Company Private Limited (HHPPL)4

GMR Upper Karnali Hydro Power Limited (GUKPL)4

GMR Energy (Mauritius) Limited (GEML)4

GMR Lion Energy Limited (GLEL)4

GMR Energy (Cyprus) Limited (GECL)

GMR Energy (Netherlands) BV (GENBV)

PT Unsoco (PT)

PT Dwikarya Sejati Utma (PTDSU)

PT Duta Sarana Internusa (PTDSI)

PT Barasentosa Lestari (PTBSL)

GMR Infrastructure (Mauritius) Limited (GIML)

GMR Infrastructure (Cyprus) Limited (GICL)

GMR Infrastructure Overseas (Malta) Limited (GIOSL) (Formerly known as GMR Infrastructure Overseas Sociedad Limitada)

GMR Infrastructure (UK) Limited (GIUL)

GMR Airports (Malta) Limited (GMRAML)10

GMR Infrastructure (Global) Limited (GIGL)





GMR Infrastructure (Singapore) Pte Limited (GISPL)

GMR Energy (Global) Limited (GEGL)

Homeland Energy Group limited (HEGL)9

GMR Maharashtra Energy Limited (GMAEL)4

GMR Bundelkhand Energy Private Limited (GBEPL)4

GMR Rajam Solar Power Private Limited (GRSPPL) (Formerly known as GMR Uttar Pradesh Energy Private Limited (GUPEPL))4

GMR Genco Assets Limited (GENCO) [formerly known as GMR Hosur Energy Limited (GHOEL)]

Karnali Transmission Company Private Limited (KTCPL)4

Marsyangdi Transmission Company Private Limited (MTCPL)4

GMR Indo-Nepal Energy Links Limited (GINELL)4

GMR Indo-Nepal Power Corridors Limited (GINPCL)4

Aravali Transmission Service Company Limited (ATSCL)6

Maru Transmission Service Company Limited (MTSCL)6

GMR Energy Projects (Mauritius) Limited (GEPML)

Hyderabad Duty Free Retail Limited (HDFRL) [merged with GHRL w.e.f April 1, 2016]

GMR Airport Developers Limited (GADL)

GADL International Limited (GADLIL)

GADL (Mauritius) Limited (GADLML)

Deepesh Properties Private Limited (DPPL)

Larkspur Properties Private Limited (LAPPL)

Padmapriya Properties Private Limited (PAPPL)

Radha Priya Properties Private Limited (RPPL)

Pranesh Properties Private Limited (PRPPL)

Kakinada SEZ Private Limited (KSPL)

GMR Power Infra Limited (GPIL)

GMR Male International Airport Private Limited (GMIAL)

GMR Male Retail Private Limited (GMRPL)10

GMR Coal Resources Pte Limited (GCRPL)

GMR Airport Handling Services Company Limited (GAHSCL)

GMR Airport Global Limited (GAGL)15

GMR Hosur Industrial City Private Limited (GHICL) (Formerly known as Lantana Properties Private Limited (LPPL))

Asteria Real Estate Private Limited (AREPL)

GMR Infrastructure Overseas Limited (GIOL)

GMR Hosur EMC Private Limited( GHEMCPL)

GMR Airports (Mauritius) Limited (GAML)

GMR Hyderabad Airport Power Distribution Limited (GHAPDL)

GMR Aerospace Engineering Limited (GAEL) (formerly known as MAS GMR Aerospace Engineering Company Limited (MGAECL))

Delhi Airport Parking Services Private Limited (DAPSL)

GMR Aero Technic Limited (GATL) (formerly known as MAS GMR Aero Technic Limited (MGATL))

East Godavari Power Distribution Company Private Limited (EGPDCPL)

Suzone Properties Private Limited (SUPPL)





Lilliam Properties Private Limited (LIPPL)

GMR Utilities Private Limited (GUPL)

Raxa Security Services Limited (RSSL)13

Indo Tausch Trading DMCC (Indo Tausch)14

Kakinada Gateway Port Limited (KGPL)2

GMR Goa International Airport Limited (GIAL)2

GMR SEZ Infra Services Limited (GSISL)2

GMR Infra Developers Limited (GIDL)2

Associates / Joint Venture Companies Rampia Coal Mine and Energy Private Limited (RCMEPL)

Limak GMR Construction JV (CJV)

Celebi Delhi Cargo Terminal Management India Private Limited (CDCTM)

Delhi Cargo Service Centre Private Limited (DCSCPL)

Delhi Aviation Services Private Limited (DASPL)

Travel Food Services (Delhi Terminal 3) Private Limited (TFS)

Devyani Food Street Private Limited (DFSPL)

Delhi Select Services Hospitality Private Limited (DSSHPL)

Wipro Airport IT Services Limited (WAISL)

TIM Delhi Airport Advertisment Private Limited (TIM)

PT Golden Energy Mines Tbk (PTGEMS)

PT Tanjung Belit Bara Utama (TBBU)

PT Roundhill Capital Indonesia (RCI)

PT Kuansing Inti Makmur (KIM)

PT Trisula Kencana Sakti (TKS)

PT Borneo Indobara (BIB)

PT Karya Cemerlang Persada (KCP)

PT Bungo Bara Utama (BBU)

PT Bara Harmonis Batang Asam (BHBA)

PT Berkat Nusantara Permai (BNP)

PT Bumi Anugerah Semesta (BAS)

Shanghai Jingguang Energy Co. Ltd ( SJECL)12

PT Gems Energy Indonesia (PTGEI)12

GEMS Trading Resources Pte Limited (GEMSCR) (Formerly known as GEMS Coal Resources Pte Limited)

Delhi Aviation Fuel Facility Private Limited (DAFF)

Laqshya Hyderabad Airport Media Private Limited (Laqshya)

Jadcherla Expressways Private Limited (JEPL) (formerly known as GMR Jadcherla Expressways Limited (GJEPL))3

Ulundurpet Expressways Private Limited (UEPL) (formerly GMR Ulundurpet Expressways Private Limited (GUEPL))3

GMR Trading Resources Pte. Limited (GEMSCR)

Megawide - GISPL Construction JV(MGCJV)11

Asia Pacific Flight Training Academy Limited (APFT)

East Delhi Waste Processing Company Private Limited (EDWPCPL)

GMR Megawide Cebu Airport Corporation (GMCAC)





GMR OSE Hungund Hospet Highways Private Limited (GOSEHHHPL)15

GMR Kamalanga Energy Limited (GKEL)

Delhi Duty Free Services Private Limited (DDFS)

GMR Energy Limited (GEL)4

GMR Vemagiri Power Generation Limited (GVPGL)4

GMR (Badrinath) Hydro Power Generation Private Limited (GBHPL)4

GMR Mining and Energy Private Limited (GMEL)4

GMR Consulting Services Private Limited (GCSPL)4

GMR Bajoli Holi Hydropower Private Limited (GBHHPL)4

GMR Warora Energy Limited (GWEL) (Formerly EMCO Energy Limited (EMCO))4

GMR Gujarat Solar Power Private Limited (GGSPPL) 4

Himtal Hydro Power Company Private Limited (HHPPL)4

GMR Upper Karnali Hydro Power Limited (GUKPL)4

GMR Energy (Mauritius) Limited (GEML)4

GMR Lion Energy Limited (GLEL)4

GMR Maharashtra Energy Limited (GMAEL)4

GMR Bundelkhand Energy Private Limited (GBEPL)4

GMR Rajam Solar Power Private Limited (GRSPPL) (Formerly known as GMR Uttar Pradesh Energy Private Limited (GUPEPL))4

Karnali Transmission Company Private Limited (KTCPL)4

Marsyangdi Transmission Company Private Limited (MTCPL)4

GMR Indo-Nepal Energy Links Limited (GINELL)4

GMR Indo-Nepal Power Corridors Limited (GINPCL)4

GMR Rajahmundry Energy Limited (GREL) [w.e.f May 14, 2016]5

GMR Chhattisgarh Energy Limited (GCHEPL) [w.e.f February 23, 2017]5

Enterprises where key managerial Welfare Trust of GMR Infra Employees (GWT)

personnel or their relatives exercise GMR Varalaxmi Foundation (GVF)

significant influence (Where GMR Family Fund Trust (GFFT)

transactions have taken place ) GMR Infra Ventures LLP (GIVLLP)

GMR Enterprises Private Limited (GEPL) [till August 10, 2016]1

Grandhi Enterprises Private Limited (GREPL)7

GMR Business and Consulting LLP (‘GBC’)

GEOKNO India Private Limited (GEOKNO)8

Fellow Subsidiaries (Where transactions have taken place )

GMR Projects Private Limited (GPPL) [till August 10, 2016]1

GMR Bannerghatta Properties Private Limited (GBPPL)

GMR Holding Malta Limited (GHML)

Ravi Verma Realty Private Limited (RRPL)

Grandhi Enterprises Private Limited (GREPL)7

GEOKNO India Private Limited (GEOKNO)8

Raxa Security Services Limited (RSSL)13

GMR Airport Global Limited (GAGL)15




Key management personnel and their Mr. G.M. Rao (Executive Chairman)

relatives Mrs. G Varalakshmi (Relative)

Mr. G.B.S. Raju (Director)

Mr. Grandhi Kiran Kumar (Managing Director)

Mr. O.B. Raju (Director) (Resigned w.e.f September 23, 2015)

Mr. Srinivas Bommidala (Director)

Mr. B.V. Nageswara Rao (Director)

Mr. C.P. Sounderarajan (Company Secretary) (Resigned w.e.f. August 12, 2015)

Mr. Adiseshavataram Cherukupalli (Company Secretary) (Appointed w.e.f August 13, 2015)

Mr. K V V Rao (Resigned w.e.f September 23, 2015)

Mr.Jayesh Desai (Appointed on November 13, 2015 and resigned w.e.f. February 13, 2017)

Mr. R S S L N Bhaskarudu (Independent Director)

Mr. N C Sarabeswaran (Independent Director)

Mr. S Sandilya (Independent Director)

Mr. S Rajagopal (Independent Director)

Mr. C.R. Muralidharan (Independent Director)

Mrs. V. Siva Kameswari (Independent Director)

Mr. V. Shanthanaraman (Independent Director) (Retired on September 14, 2016)

Dr. Prakash G Apte (Independent Director) (Retired on September 14, 2016)

Mr. Madhva Bhimacharya Terdal (Group CFO)

Notes

1. During the year ended March 31, 2017, GHPL and GPPL were amalgamated with GEPL pursuant to completion of necessary legal procedures.

2. Subsidiaries incorporated during the year ended March 31,2017.

3. Ceased to be an associate during the year ended March 31,2017.

4. Ceased to be a subsidiary and became a joint venture w.e.f November 4, 2016.

5. Ceased to be a subsidiary on account of Strategic Debt Restructuring (SDR) and became a joint venture on the date of SDR.

6. Ceased to be a subsidiary during the year ended March 31,2017.

7. Ceased to be a enterprise where key managerial personnel or their relatives exercise significant influence and became a fellow subsidiary during the

year ended March 31, 2017.

8. Ceased to be a fellow subsidiary and became an enterprise where key managerial personnel or their relatives exercise significant influence during the

year ended March 31, 2017.

9. Ceased to be a subsidiary during the year ended March 31,2016.

10. Subsidiaries liquidated during the year ended March 31, 2016.

11. Joint Ventures incorporated during the year ended March 31,2016.

12. Subsidiary of PTGEMS incorporated during the year ended March 31,2016.

13. Ceased to be a fellow subsidiary and became a subsidiary during the year ended March 31, 2016.

14. Subsidiaries incorporated during the year ended March 31,2016.

15. Ceased to be a subsidiary and became a fellow subsidiary during the year ended March 31,2017.





b) Summary of transactions and outstanding balances with above related parties are as follows:

Nature of Transaction March 31, 2017(` in Crore)

March 31, 2016(` in Crore)

April 1, 2015(` in Crore)

i) Interest Income - Gross

Subsidiary Companies

- GEL 296.78 446.19

- GMRHL 106.96 145.49

- DSPL 26.04 41.96

- GBPSPL 2.32 0.63

- GKSEZ 20.47 17.76

- GAPL 2.37 14.26

- GSPHPL 34.53 35.52

- KSPL 153.67 113.84

- DPPL 0.10 0.09

- GCAPL 6.07 2.13

- GIML 16.31 6.44

- GGAL 53.83 128.75

- NREPL 0.94 -

- SUPPL 0.49 -

- LIPPL 0.34 -

- GPEPL 1.63 1.48

- GACEPL 0.04 0.03

- GCORRPL 1.84 1.82

- GKUAEL 0.04 0.04

- GHVEPL 4.05 3.71

- ATSCL 0.08 0.02

- DIAL 4.45 0.44

- GWEL 0.48 0.60

- GADL 0.15 0.15

- GAL 1.00 1.00

- GBHHPL 0.44 0.35

- GCHEPL 3.97 4.35

- GENBV - 0.11

- GETL 0.04 0.32

- GGSPPL 0.37 0.07

- GHIAL 1.31 1.56

- GMIAL 1.61 2.14

- GPCL - 0.50

- GREL 0.08 -

- GTAEPL 0.09 0.11

- GTTEPL 0.26 0.26

- MTSCL 0.50 0.11

- PAPPL [` 36,332 (March 31, 2016 : ` 21,202)] 0.00 0.00

- PT BSL 0.44 0.53

- GCRPL 4.33 5.84

- GISPL 1.63 1.66

- RSSL 1.24 0.43




Associates / Joint venture Companies

- GOSEHHHPL 0.48 0.48

- UEPL - 0.01

- JEPL - 0.25

- GMCAC - 0.35

- GKEL 0.27 0.14

- GEL 1.24 -

- GWEL 0.34 -

- GGSPPL 0.01 -

- GCHEPL 0.36 -

- GREL 0.92 -

ii) Construction revenue


- GCORRPL 13.33 -

- GMRHL - 1.10

- GHVEPL 0.21 2.58


- GKEL - 2.91

iii) Income from management and other services


- GIML 2.72 10.59

- GCRPL 1.88 3.72

iv) Dividend income on current investments

Subsidiary Company

- GAL [` 10,732 (March 31, 2016: ` 10,732)] 0.00 0.00

v) Miscellaneous income

Subsidiary Company

- GGAL [` 37,822 (March 31, 2016: Nil] 0.00 -

vi) Subcontracting expenses


- GHIAL 0.02 -

- GADL 0.13 -

- RSSL 0.01 0.11

Fellow subsidiaries

- GEOKNO 0.47 4.21

- RSSL - 0.15

vii) Finance cost


- GAL 4.86 5.52

- DSPL 3.72 -

- RSSL 3.27 -

- GADL 12.45 13.00

viii) Legal and professional fees


- GKSEZ 0.01 -

- GADL 0.05 -







- GCAPL 26.58 36.08

- GBPSPL 1.09 1.38


- GOSEHHHPL [Nil (March 31, 2016 : ` 15,000)] - 0.00

- DAFF 0.03 0.01

Fellow subsidiary

- GEOKNO 0.36 -

ix) Lease rental and equipment hire charges

Holding Company

- GHPLh - 0.01


- DIAL 2.11 1.14

- GHIAL 0.10 0.04


- GOSEHHHPL - 0.03

Fellow subsidiary

- GREPL 0.81 -

Enterprises where key managerial personnel or their relatives exercise significant influence

- GFFT 0.43 0.11

- GREPL 0.48 1.25

x) Security expenses

Subsidiary Company

- RSSL 8.12 0.75

Fellow subsidiary

- RSSL - 0.26

xi) Travelling and conveyance


- GTTEPL 0.02 -

- GTAEPL 0.04 -

- GCORRPL 0.08 -

- GMRHL 0.05 -

- GHIAL [` 29,929 (March 31, 2016: ` 15,090)] 0.00 0.00

- DIAL - 0.01

- GAPL - 0.41

- GHRL (` 5,958 March 31, 2016: ` 4,423) 0.00 0.00

- GAL - -


- GOSEHHHPL [Nil (March 31, 2016: ` 29,767)] - 0.00


- GVF [` 68,745 (March 31, 2016 : ` Nil] 0.01 -

Fellow subsidiary

- GPPLh - 0.01

xii) Repairs and maintenance


- GCAPL 0.71 0.52

- DIAL 0.43 0.25

- GHIAL (` 45,731) 0.00 0.02

- RSSL 0.04 -








- GFFT 0.42 -

xiii) Rates & Taxes


- PAPPL 0.12 -

xiv) Communication Costs

Subsidiary Company

- GHIAL (` 15,429) 0.00 0.01


- GOSEHHHPL [Nil (March 31, 2016: ` 2,202)] - 0.00

xv) Miscellaneous Expenses


- GKSEZ 0.01 -

- GIOL - 0.09

- KSPL (March 31, 2016: ` 46,233) - 0.00

xvi) Staff welfare expense

Subsidiary Company

- DIAL 0.01 -


- GOSEHHHPL [` 5,900 (March 31, 2016: ` 5,900)] 0.00 0.00

xvii) Expenses incurred by GIL on behalf of others- Cross charges

a] Cross charges during the year


- ATSCL 0.03 0.20

- MTSCL 0.06 0.25

- GCHEPL 7.12 24.82

- GGSPPL 0.16 1.18

- DIAL 37.70 33.47

- GCORRPL 0.58 1.08

- GEL 1.33 1.38

- GHIAL 12.68 9.50

- GKSEZ 0.72 1.27

- KSPL 2.85 3.10

- GPCL 0.22 0.37

- GSPHPL 0.33 0.44

- GTTEPL 1.16 1.28

- GAPL 0.36 0.29

- GMRHL 0.29 0.95

- GTAEPL 0.98 1.20

- GVPGL 0.58 2.33

- DSPL 0.10 0.10

- GWEL 4.76 8.55

- GCSPL 0.02 0.27

- GBHHPL 1.15 2.65

- GACEPL 0.39 0.61

- GPEPL 0.57 0.61

- GETL 4.07 6.01

- GHVEPL 1.37 1.59







- GREL 0.35 2.02

- GAL 4.19 0.50

- GGAL 0.01 0.02

- GPIL (` 39,078) (March 31, 2016: ` 24,023) 0.00 0.00

- GADL - 0.00

- RSSL 0.55 -


- GOSEHHHPL - 0.27

- UEPL - 0.03

- GEL 0.95 -

- GVPGL 0.42 -

- GWEL 3.40 -

- GCSPL 0.01 -

- GBHHPL 0.82 -

- GGSPPL 0.11 -

- GCHEPL 0.65 -

- GREL 3.81 -

- GKEL 8.58 14.38

b] Reimbursement of expenses


- GAL 1.02 -

- GKSEZ - 0.50

Fellow subsidiary

- GEOKNO 0.23 0.33

xviii) Logo Fees

Holding company

- GEPLh [1,000 (March 31, 2016: ` Nil)] 0.00 -

- GHPLh [` Nil (March 31, 2016: ` 1,000)] - 0.00

xix) Provision for doubtful debts

Subsidiary Company

- GCORRPL 1.22 1.59

- GHVEPL 0.61 -

- GWEL - 1.74


- GWEL 1.59 -

xx) Provision for diminution in value of investments


- GEL - 727.36

- GMRHL 736.07 356.74

- GCORRPL - 4.12

- GGAL 2,715.39 878.90

- GHVEPL - 15.87

- GAPL 108.35 2.05


- GEL 94.35 -

- UEPL - 1.05

- GOSEHHHPL - 29.65





21st Annual Report - 2016-17 21st Annual Report - 2016-17316 PB


xxi) Security deposit given


- GFFT - 1.35

xxii) Security deposit refunded / adjusted

Subsidiary Company

- HFEPL 1.26 -

Fellow subsidiary

- GPPLh - 0.02


- GFFT 0.82 15.00

xxiii) Purchase of fixed assets

Subsidiary Company

- GKUAEL 0.19 0.08

Fellow subsidiary

- GPPLh - 1.78

xxiv) Investment in equity shares of

Subsidiary Company

- GIDL 0.05 -

- GASL [Re. 1 (March 31, 2016: ` Nil] 0.00 -

xxv) Investment in preference shares of

Subsidiary Company

- GMRHL - 137.00

xxvi) Investment in debentures of


- GSPHPL 6.50 263.70

xxvii) Redemption of debentures of


- GEL - 100.00

- GAPL - -

- GCAPL - 11.50

xxviii) Sale of investments

Subsidiary Company

- GMRHL (March 31, 2016: ` 30) - 0.00

Fellow subsidiary

- GHML (March 31, 2016: ` 3,924) - 0.00

xxix) Transfer of unbilled revenue on account of novation agreement


- GCORRPL - 16.10

- GHVEPL - 9.18

xxx) Equity share application money alloted


- GMCAC - 10.66





21st Annual Report - 2016-17 21st Annual Report - 2016-17PB 317





xxxi) Loans given to


- GAPL - 22.50

- GEL 1,038.72 1,288.26

- GGAL 235.14 -

- NREPL 12.46 -

- SUPPL 6.50 -

- LIPPL 5.04 -

- GMRHL 345.07 278.17

- DSPL 189.68 233.12

- GBPSPL - 31.06

- KSPL 481.89 716.33

- GKSEZ 8.05 24.01

- GSPHPL - 107.01

- GCAPL - 39.35

- GIML 181.03 227.02

- RSSL - 24.00

xxxii) Loans repaid by


- GIML 134.76 40.06

- GBPSPL - 15.00

- GMRHL 230.53 50.00

- DSPL 254.24 623.11

- GEL 732.65 192.71

- LIPPL 1.00 -

- GGAL 288.48 -

- KSPL 285.97 -

- RSSL 24.00 -

- GSPHPL - 61.37

xxxiii) Debentures converted into equity

Subsidiary Company

- GAPL 98.65 -

xxxiv) Loans converted into equity


- GMRHL 989.39 -

- GGAL 4,051.35 -

- GAPL 32.50 -

xxxv) Accrued interest on loans and debentures converted into equity

Subsidiary Company

- GAPL 26.49 -

xxxvi) Loans received from

Subsidiary Company

- GAL 60.00 180.00







- DSPL 214.00 -

- RSSL 75.00 -

xxxvii) Loans repaid to


- GAL 83.50 188.00

- GADL - 4.72

- DSPL 214.00 -

- RSSL 7.50 -

xxxviii) Loans novated to GGAL


- GEL 3,321.07 -

xxxix) Debentures novated to GGAL

Subsidiary Company

- GEL 867.50 -

xl) Equity recouped on account of early conversion of preference shares / debentures / loans


- GMRHL 512.76 -

- GGAL 1,504.47 -

- GSPHPL 65.10 -

- GTTEPL 12.32 -

- GTAEPL 9.64 -

- GACEPL 15.70 -


- GEL 74.89 -

xli) Additional Equity on account of financial guarantees


- GGAL 0.88 -

- GCRPL 11.54 -

- GISPL 0.21 0.16

- GTTEPL 0.28 -

- GETL 0.06 -

- GREL 44.46 -

- PTBSL - 0.17

- PAPPL - 0.03

- RSSL 0.86 0.06

- KSPL - 0.96

- GWEL - 3.87


- GBHHPL 2.58 -

- GKEL - 5.01

xlii) Additional Equity on account of loans at concessional rate of interest


- GMRHL 32.91 121.07

- GGAL 3.01 -

- GEL 206.40 -




xliii) Additional Equity on account of preference shares and debentures at concessional rate of interest


- GMRHL - 87.25

- GAPL 2.12 -

- GEL 58.43 -

xliv) Preference Shares converted to equity


- GGAL 2,120.90 -

- GMRHL 843.54 -

xlv) Advance received from customers

Subsidiary Company

- GWEL - 3.80

- GMRHL - 0.69

- GCORRPL - 5.00

- GPEPL 7.75 -


- GKEL - 1.00

xlvi) Advance repaid to customers

Subsidiary Company

- GCORRPL - 5.00

- GMRHL - 0.44

xlvii) Corporate Guarantees/ Comfort Letters given on behalf of


- GISPL 321.44 33.39

- KSPL - 150.00

- PAPPL - 3.60

- GWEL - 295.00

- GEL - 68.00

- PTBSL - 66.10

- GAPL 10.00 -

- GADL 18.00 -

- RSSL 100.00 30.00

- GETL 25.00 -

- GGAL 149.00 -

- GTTEPL 105.00 -

- GCRPL 2,860.16 -


- GREL 2,571.71 -

- GBHHPL 200.00 -

- GKEL - 400.00

xlviii) Corporate Guarantees/ Comfort Letters extinguished on behalf of


- GAPL - 19.00

- GENBV - 302.69

- GGSPPL - 25.00

- GPCL - 275.00







- GIML 968.17 599.07

- GHIAL 1,480.00 100.00

- GISPL 469.04 -

- DIAL 377.11 -

- ATSCL 13.20 -

- GCRPL 3,391.52 -

- GMRHL 450.00 -

- GTTEPL 105.00 -

- GMIAL 2,620.72 -

- MTSCL 18.70 -

- GEL - -


- UEPL - 596.25

- JEPL - 353.48

- GEL 1,641.00 -

- GGSPPL 35.00 -

- GBHHPL - -

- GMCAC - 807.86

xlix) Bank Guarantees extinguished on behalf of


- GMRHL 2.13 0.63


- GKEL - 22.85

Fellow subsidiary

- GEOKNO 1.18 -

l) Managerial remuneration to

A] Key management personnel and their relatives

- Mr. G.M.Rao 0.71 0.82

- Mr. Grandhi Kiran Kumar 1.27 0.95

- Mr. C.P. Sounderarajan - 0.35

- Mr. Adiseshavataram Cherukupalli 0.84 0.47

- Mr. Madhva Bhimacharya Terdal 1.96 1.65

B] Sitting fees paid to independent directors

- Dr. Prakash G. Apte 0.01 0.03

- Mr. R.S.S.L.N. Bhaskarudu 0.06 0.09

- Mr. N.C. Sarabeswaran 0.05 0.07

- Mr. S. Sandilya 0.02 0.03

- Mr. S. Rajagopal 0.04 0.07

- Mr. V. Santhana Raman 0.02 0.03

- Mr. C.R. Muralidharan 0.02 0.03

- Mrs. V. Siva Kameswari 0.05 0.03

C] Expenses include the following remuneration to the Key Management Personnel

- Short-term employee benefits 4.78 4.24

- Share based payment - -

- Sitting fees paid to independent directors 0.28 0.39

- Other benefitsg - -







li) Allotment of shares in right issue from share application money (including securities premium)


- GBC - 889.57

lii) Share warrants forfeited


- GIVLLP - 141.75

Iiii) Purchase of Equity Shares

Subsidiary Companies 0.00 -

- GHIAL [Re. 1 (March 31, 2016: ` Nil]

liv) Outstanding balances as at the year ended

a) Loans receivable – Non-Current


- GEL - 2,917.82 1,897.63

- GIML 229.05 186.96 -

- DSPL - - 398.20

- GAPL - 22.50 -

- KSPL 1,303.75 1,145.35 429.03

- GMRHL - 997.33 826.79

- GBPSPL 18.95 2.89 -

- GSPHPL 90.50 132.31 86.67

- GKSEZ 76.41 68.36 44.35

- RSSL - 24.00 -

- GGAL 83.88 - -

- NREPL 12.46 - -

- SUPPL 6.50 - -

- LIPPL 4.04 - -

b) Loans receivable – Current


- GEL - 78.31 -

- GCAPL 39.35 39.35 -

- GMRHL 304.55 - -

- KSPL 37.53 - -

- GBPSPL - 16.06 2.89

- GAPL - 10.00 10.00

- GSPHPL 41.81 - -

- DSPL - 64.56 56.35

c) Cross Charge Receivable

Holding Company

- GHPLh - 0.13 2.87

- GEPLh 0.13 - -


- GEL - 0.70 1.41

- GETL 3.28 6.61 -

- GKSEZ 0.07 0.25 0.85

- GVPGL - 4.79 2.88

- GBHHPL - 1.29 -







- GPIL (March 31, 2016: ` 25,035) 0.01 0.00 -

- GADL (` 43,332) 0.00 0.01 -

- GHVEPL 8.85 7.31 5.66

- GWEL - 1.70 0.87

- GCHEPL - 12.64 39.77

- DIAL 12.23 8.52 4.49

- GHIAL 4.14 2.71 1.44

- GGSPPL - 1.60 0.40

- KSPL 5.30 9.29 5.76

- GAPL 1.26 2.29 1.96

- GTTEPL 0.78 5.20 3.90

- GTAEPL 0.50 2.80 1.61

- GPCL 0.22 0.86 0.44

- GMRHL 0.34 14.63 24.37

- GCORRPL 2.86 6.12 6.38

- MTSCL - 0.13 0.54

- GCAPL - - 2.76

- GSPHPL 0.19 0.24 0.47

- ATSCL - 0.16 0.53

- GAL 2.10 0.48 1.80

- DSPL 0.12 0.22 0.11

- GPEPL 0.65 0.69 -

- GGAL - 0.01 -

- GCSPL - 0.30 -

- GACEPL 0.88 0.66 -

- RSSL 0.63 0.25 0.27

- GBPSPL 0.15


- UEPL - 0.04 -

- GEL 0.82 - -

- GVPGL - - -

- GBHHPL 1.26 - -

- GWEL 8.25 - -

- GGSPPL 0.05 - -

- GCHEPL 2.45 - -

- GKEL 19.25 14.89 8.90

Fellow subsidiaries

- GEOKNO - 0.11 -


- GFFT - 0.65 -

d) Advances other than capital advances


- GISPL - - 0.16

- GAPL 2.00 - -

- GAL 0.24 - -







Fellow subsidiaries

- RSSL - - 0.36

- GPPLh - - 0.53


- GEOKNO 0.44 - -

- GFFT - - 0.21

e) Investment in share application money


- GMCAC - - 10.66

f) Security deposits receivable - Non current

Holding Company

- GEPLh 0.02 - -


- GHIAL 0.04 0.04 0.04

- RSSL 0.28 0.28 -

Fellow subsidiaries

- GPPLh - 0.02 0.02

- RSSL - - 0.28

g) Security deposits receivable - Current

Subsidiary Company

- HFEPL 1.25 2.51 2.51


- GFFT 0.53 1.35 15.00

h) Trade receivables- Non Current


- GCORRPL 1.17 0.08 -

- GTTEPL - - 0.23

- GHVEPL - 0.31 -


- GKEL - 1.21 0.82

i) Trade receivables- Current


- GWEL - 26.97 28.47

- GMRHL 1.30 3.21 7.78

- GTTEPL - 0.00 1.63

- GKSEZ - - 0.13

- GCRPL - 11.58 7.42

- GHEMCPL - 0.02 -

- GCORRPL 7.82 0.74 0.04

- GIML 1.31 5.32 -

- GHVEPL 3.57 5.53 -


- JEPL 0.47 0.47 0.51

- GWEL (net of advance) 6.61 - -







- GKEL 1.21 - -

Provision for doubtful receivables:


- GWEL - 3.18 1.43

- GHVEPL 0.22 - -


- GWEL 4.77 - -

j) Unbilled revenue - Current


- GCORRPL 5.59 14.19 -

- GHVEPL 5.69 5.49 -

- GWEL - 9.55 9.55

- GMRHL 0.72 0.72 -

- GTTEPL 0.01 0.01 0.01


- GWEL (net of advance) 0.41 - -

- GKEL 0.18 0.18 4.17

Provision for doubtful receivables:


- GCORRPL 3.89 2.67 1.08

- GHVEPL 0.39 - -

k) Accrued interest on loans given


- GEL - 185.00 23.00

- GMRHL 24.97 37.26 7.54

- DSPL 3.43 0.72 34.03

- GCAPL 4.35 0.43 -

- GAPL - 1.56 -

- GIML 15.00 4.10 -

- KSPL 152.90 106.78 33.90

- GKSEZ 8.95 0.03 2.98

- GBPSPL 2.94 0.61 0.02

- GSPHPL 16.21 - 5.88

- GGAL 1.50 - -

- NREPL 0.85 - -

- SUPPL 0.44 - -

- LIPPL 0.31 - -

- RSSL - 0.01 -

l) Accrued interest on investment in debentures


- GEL - 29.00 -

- GKSEZ 11.55 - 11.24

- GCAPL - - 0.05

- GSPHPL 1.47 - 2.82

- GAPL - 24.93 12.97

- DPPL ` 18,373 (March 31, 2016: ` 3,374 , April 1, 2015: ` 13,500) 0.00 0.00 0.00








- GEL 0.02 - -

m) Loans payables – Non Current


- RSSL 67.50 - -

- GADL 52.94 68.63 75.97

n) Loans payables – Current

Holding Company

- GEPLh 0.07 0.07 0.03


- GAL 36.50 60.00 68.00

- GADL 25.19 7.34 2.71

o) Trade payables - Current

Holding Company

- GHPLh [Nil (March 31, 2016: ` 15,754 , April 1, 2015: ` 3,604)] - 0.00 0.00

- GEPLh 0.97 - -


- GMRHL 0.21 0.19 0.22

- GAPL - 1.44 3.97

- GHIAL 0.11 0.03 0.01

- GHVEPL 0.04 0.04 0.04

- GWEL (March 31, 2016: ` 11,732) - 0.00 -

- GHRL (` 6,443) 0.00 0.01 -

- GAL 0.54 0.42 0.42

- GCAPL 3.12 3.81 15.86

- GBPSPL 1.08 2.49 1.19

- DIAL (April 1, 2015: ` 27,442) 0.01 1.22 0.00

- GKSEZ 0.02 0.08 0.01

- GPEPL [` 3,588 (March 31, 2016 : ` 3,588 , April 1, 2015: ` 3,588)] 0.00 0.00 0.00

- GTTEPL 0.02 1.05 1.05

- HFEPL - - 0.86

- RSSL 4.86 0.33 -

- GGAL (` 24,228) 0.00 - -

- GKUAEL 0.26 - -

- GCORRPL 0.08 - -

- GTAEPL 0.04 - -

- GADL 0.34 - -

Fellow Subsidiaries

- GPPLh - 1.02 -

- RSSL - - 1.82

- RRPL - 0.01 0.01

- GREPL 0.34 - -


- DAFF - 0.02 -

- DDFS - - 0.06









- GVPGL 0.40 - -

- GCSPL 0.01 - -

- GWEL (` 24,232) 0.00 - -


- GFFT 0.15 0.76 1.36

- GREPL - 0.30 0.13

Key management personnel and their relatives

- Mr. G.M.Rao 0.41 - 0.30

- Mr. Grandhi Kiran Kumar 1.27 - -

- Mr. G.B.S. Raju 0.01 - -

- Mr. R.S.S.L.N. Bhaskarudu 0.01 - -

- Mr. N.C. Sarabeswaran 0.01 - -

- Mr. S. Rajagopal 0.01 - -

- Mr. C.R. Muralidharan 0.01 - -

- Mrs. V. Siva Kameswari 0.01 - -

p) Accrued interest but not due on borrowings

Holding Company

- GHPLh - - 4.02


- GAL - - 0.62

- RSSL 0.01 - -

- GADL - - 0.97

q) Accrued interest and due on borrowings

Subsidiary Company

- GADL 5.97 - -

r) Non Trade payables - Current

Holding Company

- GHPLh - - 0.14


- GREL - 7.96 10.28


- GREL 3.39 - -

Fellow Subsidiary

- GBPPL - - 0.01

s) Payable to group companies

Holding Company

- GEPLh 10.26 - -

- GPPLh - 10.26 -


- GEL - 148.52 151.30

t) Advance from customers - Current

Holding Company

- GEPLh - - -


- GMRHL 1.30 1.30 1.08








- GIML - - 5.08

- GWEL - 15.80 12.00

- GPEPL 7.75 - -

Fellow subsidiary

- GPPLh - - 10.66


- GWEL (net of receivables) - - -

- GKEL 5.55 5.55 12.23

u) Corporate Guarantees/ Comfort Letters sanctioned on behalf of


- DIAL - 377.11 373.10

- GADL 118.00 100.00 100.00

- GAPL 221.44 214.18 224.44

- GCORRPL 786.78 786.78 786.78

- GCRPL 2,860.16 3,452.01 3,260.20

- GEL - 2,559.00 2,491.00

- PAPPL 3.60 3.60 -

- GENBV - - 302.69

- GHIAL - 1,480.00 1,580.00

- GHVEPL 1,690.00 1,690.00 1,690.00

- GIML - 968.17 1,513.44

- GISPL 2,337.58 2,605.59 2,390.37

- GMIAL - 2,620.72 2,475.11

- GMRHL - 450.00 450.00

- GOSEHHHPL - - -

- KSPL 400.00 400.00 250.00

- GGSPPL - 35.00 60.00

- PTBSL 375.23 381.92 298.27

- GPCL - - 275.00

- GETL 85.00 60.00 60.00

- GAL 500.00 500.00 500.00

- GCHEPL - 1,893.90 1,819.61

- GTTEPL 105.00 105.00 105.00

- GTAEPL 45.00 45.00 45.00

- GBHHPL - 1,545.00 1,545.00

- GWEL - 1,210.50 915.50

- MTSCL - 18.70 18.70

- ATSCL - 13.20 13.20

- GGAL 149.00 - -

- RSSL 130.00 30.00 -


- GMCAC - - 807.86

- GEL 918.00 - -

- GWEL 1,210.50

- GKEL 400.00 400.00 -

- GCHEPL 1,860.71 - -






- GBHHPL 1,745.00 - -

- GREL 2,571.71 - -

- UEPL - - 596.25

- GOSEHHHPL 1,080.00 1,080.00 1,080.00

- JEPL - - 353.48

v) Bank Guarantee outstanding on behalf of


- GKSEZ 45.66 45.66 45.66

- GMRHL - 2.13 1.50


- GKEL - - 22.85


- GEOKNO 1.30 - -

Fellow subsidiary

- GEOKNO - 2.48 2.48

w) Share application money pending allotment


- GBC - - 889.57

x) Money received against share warrants


- GIVLLP - - 141.75

Notes:

a. The Company has provided securities by way of pledge of investments for loans taken by certain Companies (refer note 5).

b. The Holding Company has pledged certain shares held in the Company as security towards the borrowings of the Company.

c. A charge has been created over the deposits of ` Nil (March 31, 2016: Nil, April 1, 2015: ` 502.10 crore) for loan against deposits availed by KSPL.

d. A charge has been created over the deposits of ` Nil (March 31, 2016: ` 1.80 Crore, April 1, 2015: ` 2.98 crore) for the purpose of DSRA maintained

by the Company with a bank for loan availed by GMRHL.

e. Also refer note 5 on non-current investments and current investments.

f. Also refer note 16 for long term borrowings and short term borrowings as regards security given by related parties for loans availed by the

Company

g. As the liability for gratuity and leave encashment is provided on actuarial basis for the Company as a whole, the amount pertaining to the directors

are not included.

h. Refer note 33(a)(1).

34. Gratuity and other post-employment benefit plans

a) Defined contribution plan

(` in crore)


Provident and pension fund 3.66 2.74

Superannuation fund 1.52 1.42

Total* 5.18 4.16

* Gross of ` 1.34 crore (March 31, 2016 : ` 0.92 crore) towards contribution to provident fund and ` 0.83 crore (March 31, 2016 ` 0.62 crore) towards

contribution to superannuation fund cross charged to certain subsidiaries.






b) Defined benefit plan

The Company has a defined benefit gratuity plan. The gratuity plan is governed by the Payment of Gratuity Act, 1972. Under the act, every employee who

has completed five years or more of service gets gratuity on departure at 15 days salary (last drawn salary) for each completed year of service. The level

of benefits provided depends on the member's length of service and salary at retirement age. The scheme is funded with Life Insurance Corporation of

India in the form of a qualifying insurance policy.

The following tables summarise the components of net benefit expense recognised in the standalone statement of profit or loss and the funded status and

amounts recognised in the standalone balance sheet for gratuity benefit.

i. Net benefit expenses (recognized in the standalone statement of profit and loss)

(` in crore)


Current service cost 0.86 0.51

Net interest cost on defined benefit obligations/ (assets) 0.21 0.16

Net benefit expenses* 1.07 0.67

* Gross of ` 0.81 crore (March 31, 2016: ` 0.52 Crore) cross charged to certain subsidiaries.

ii. Remeasurement (gains)/ loss recognised in other comprehensive income:

(` in crore)


Actuarial (gain)/ loss on obligations arising from changes in experience adjustments 0.61 0.45

Actuarial (gain)/ loss on obligations arising from changes in financial assumptions 0.21 -

Actuarial loss / (gain) arising during the year 0.82 0.45

Return on plan assets (greater)/ less than discount rate 0.01 0.06

Actuarial (gain)/ loss recognised in OCI 0.83 0.51

iii. Net defined benefit asset/ (liability)

(` in crore)

Particulars March 31, 2017 March 31, 2016 April 01, 2015

Defined benefit obligation (4.12) (3.98) (3.88)

Fair value of plan assets 0.75 0.59 1.45

Plan (liability)/asset (3.37) (3.39) (2.43)

iv. Changes in the present value of the defined benefit obligation are as follows:

(` in crore)


Opening defined benefit obligation 3.98 3.88

Current service cost 0.86 0.51

Interest cost on the defined benefit obligation 0.26 0.25

Benefits paid (1.25) (1.27)

Acquistion adjustment (0.55) 0.16

Actuarial (gain)/ loss on obligations arising from changes in experience adjustments 0.61 0.45

Actuarial (gain)/ loss on obligations arising from changes in financial assumptions 0.21 -

Closing defined benefit obligation 4.12 3.98



v. Changes in the fair value of plan assets are as follows:

(` in crore)


Opening fair value of plan assets 0.59 1.45

Interest income on plan assets 0.05 0.09

Contributions by employer 1.16 0.38

Benefits paid (1.25) (1.27)

Return on plan assets (lesser)/ greater than discount rate (0.01) (0.06)

Acquistion adjustment 0.21 -

Closing fair value of plan assets 0.75 0.59

The Company expects to contribute ` 1.16 crore (March 31, 2016: ` 0.38 crore) towards gratuity fund in 2017-18.

vi. The following pay-outs are expected in future years:

(` in crore)

Particulars March 31, 2017

March 31, 2018 0.63

March 31, 2019 0.30

March 31, 2020 0.34

March 31, 2021 0.48

March 31, 2022 0.61

March 31, 2023 to March 31, 2027 4.42

The average duration of the defined benefit plan obligation at the end of the reporting period is 10 years (March 31, 2016: 10 years and April 1, 2015: 10 years).

vii. The major categories of plan assets as a percentage of the fair value of total plan assets are as follows:


Investments with insurer 100% 100% 100%

viii. The principal assumptions used in determining gratuity obligation for the Company's plans are shown below:


Discount rate (in %) 7.10% 7.80% 7.80%

Salary escalation (in %) 6.00% 6.00% 6.00%

Employee turnover 5.00% 5.00% 5.00%

Mortality rate Refer Note 4 below Refer Note 4 below Refer Note 4 below

Notes:

1. Plan assets are fully represented by balance with the Life Insurance Corporation of India.

2. The expected return on plan assets is determined considering several applicable factors mainly the composition of the plan assets held, assessed risks

of asset management, historical results of the return on plan assets and the Company's policy for plan asset management.

3. The estimates of future salary increase in compensation levels, considered in actuarial valuation, take account of inflation, seniority, promotion and

other relevant factors, such as supply and demand in the employment market.

4. As per Indian Assured Lives Mortality (2006-08) (modified) Ultimate.



ix. A quantitative sensitivity analysis for significant assumption as at March 31, 2017 is as shown below:

(` in crore)


Discount rate

Impact on defined benefit obligation due to 1% increase in discount rate (0.29) (0.26)

Impact on defined benefit obligation due to 1% decrease in discount rate 0.34 0.30

Salary escalation rate

Impact on defined benefit obligation due to 1% increase in attrition rate 0.27 0.24

Impact on defined benefit obligation due to 1% decrease in attrition rate (0.25) (0.22)

Attrition Rate

Impact on defined benefit obligation due to 1% increase in salary escalation rate 0.01 0.03

Impact on defined benefit obligation due to 1% decrease in salary escalation rate (0.02) (0.04)

The sensitivity analyses above have been determined based on a method that extrapolates the impact on defined benefit obligation as a result of reasonable

changes in key assumptions occurring at the end of the reporting period.

35. Segment information- Disclosure pursuant to Ind AS 108 “Operating Segment”

(a) Information about reportable segment

(` in crore)

Particulars

EPC Others Unallocated Total

March 31, 2017

March 31, 2016

March 31, 2017

March 31, 2016

March 31, 2017

March 31, 2016

March 31, 2017

March 31, 2016

Revenue

External revenue 392.77 178.01 787.00 1,061.16 - - 1,179.77 1,239.17

Inter segment revenue - - - - - - -

Total segment revenue 392.77 178.01 787.00 1,061.16 - - 1,179.77 1,239.17

Segment results (34.09) (16.08) 748.97 1,034.55 - - 714.88 1,018.47

Less:

a. Finance costs - - - - (744.74) (708.31) (744.74) (708.31)

b. Exceptional items (refer note 29) - - (3,654.16) (2,015.73) - - (3,654.16) (2,015.73)

(Loss)/Profit before tax (34.09) (16.08) (2,905.19) (981.18) (744.74) (708.31) (3,684.02) (1,705.57)

Tax expenses - - - - 0.09 14.67 0.09 14.67

(Loss)/Profit after tax (34.09) (16.08) (2,905.19) (981.18) (744.83) (722.98) (3,684.11) (1,720.24)



(` in crore)

Other information

EPC Others Unallocated Total

March 31, 2017

March 31, 2016

April 1, 2015

March 31, 2017

March 31, 2016

April 1, 2015

March 31, 2017

March 31, 2016

April 1, 2015

March 31, 2017

March 31, 2016

April 1, 2015

Segment assets 666.61 534.28 385.17 12,589.89 15,932.87 15,607.42 184.46 168.38 180.41 13,440.96 16,635.53 16,173.00

Segment liabilities 618.56 429.30 216.40 186.46 271.33 377.17 6,118.74 5,767.07 5,320.04 6,923.76 6,467.70 5,913.61

Capital employed 48.05 104.98 168.77 12,403.43 15,661.54 15,230.25 (5,934.28) (5,598.69) (5,139.63) 6,517.20 10,167.83 10,259.39

(` in crore)

Particulars

Deprereciation, amortistation and impairment include in segment expense

Other non-cash expenses included in segment expense

For year ended March 31, 2017




EPC 14.01 13.52 16.13 11.30

Others 3,656.28 2,017.98 - -

Segment Total 3,670.29 2,031.50 16.13 11.30

Unallocated - - 0.70 -

Total 3,670.29 2,031.50 16.83 11.30



Reconcilation to amounts reflected in the financial statements.

Reconcilation of assets

(` in crore)


Segment assets 13,256.50 16,467.15 15,992.59

Deferred tax assets (net) 97.23 87.12 77.91

Non-current tax assets (net) 85.73 77.68 69.53

Ancillary cost of arranging the borrowings 1.09 0.08 30.30

Others 0.41 3.50 2.67

Total assets 13,440.96 16,635.53 16,173.00

Reconcilation of liabilities (` in crore)


Segment liabilities 805.02 700.63 593.57

Non-current and current borrowings 5,204.39 5,329.17 4,520.07

Current maturities of long-term borrowings 763.37 319.76 745.63

Interest accrued but not due on borrowings 57.10 67.96 19.98

Interest accrued and due on borrowings 76.03 - -

Foreign exchange forward contracts 1.57 0.21 -

Payable to Group Company - 35.96 -

Trade payable 9.19 11.81 31.67

Provision for debenture redemption premium 1.91 2.20 2.69

Libilities for current tax (net) 5.18 - -

Total liabilities 6,923.76 6,467.70 5,913.61

(b) Geographic information (` in crore)

Particulars Segment revenue** Non-current assets***

March 31, 2017 March 31, 2016 March 31, 2017 March 31, 2016 April 1, 2015

India 1,160.38 1,220.76 183.60 175.62 201.14

Outside India 19.39 18.41 - - -

Total 1,179.77 1,239.17 183.60 175.62 201.14

**Revenues by geographical area are based on the geographical location of the client.

***Non-current assets excludes financial assets, deferred tax assets and post-employment benefit assets.

(c) Revenue from one external customer in EPC segment amounting to ` 285.70 crore (March 31, 2016: ` 78.76 crore), and from related parties under

common control in Others segment amounting to ` 759.53 crore (March 31, 2016: ` 996.20 crore) contributed to more than 10% of the entity's total

revenue.

(d) Basis of identifying operating segments, reportable segments, segment profit and definition of each reportable segment and segment composition:

(i) Basis of identifying operating segments:

Operating segments are identified as those components of the Company (a) that engage in business activities to earn revenues and incur expenses

(including transactions with any of the Company's other components (b) whose operating results are regularly reviewed by the Company’s Chief

Executive Officer to make decisions about resource allocation and performance assessment and (c) for which discrete financial information is available.

The accounting policies consistently used in the preparation of the financial statements are also applied to record revenue and expenditure in individual



segments. Assets, liabilities, revenues and direct expenses in relation to segments are categorised based on items that are individually identifiable

to that segment, while other items, wherever allocable, are apportioned to the segments on an appropriate basis. Certain items are not specifically

allocable to individual segments as the underlying services are used interchangeably. The Company therefore believes that it is not practical to provide

segment disclosures relating to such items, and accordingly such items are separately disclosed as ‘unallocated’.

(ii) Reportable segments:

An operating segment is classified as reportable segment if reported revenue (including inter-segment revenue) or absolute amount of result or assets

exceed 10% or more of the combined total of all the operating segments.

(iii) Segment profit:

Performance of a segment is measured based on segment profit (before interest and tax), as included in the internal management reports that are

reviewed by the Company’s Chief Executive Officer.

(iv) Segment composition:

a) EPC - Handling of engineering, procurement and construction solutions in infrastructure sector

b) Others - Investment activity and corporate support to various infrastructure SPVs.

36 Commitments and contingencies

I Leases

Operating lease: Company as lessee

Office premises and equipments taken by the Company are obtained on operating leases. The Company entered into certain cancellable operating lease

arrangements and certain non-cancellable operating lease arrangement towards office premises. The equipments are taken on hire on need basis. There are

no escalation clauses in the lease agreements. There are no restrictions imposed by lease arrangements. There are no subleases. The lease rentals charged

during the year and maximum obligation on the long term non-cancellable operating leases as per the lease agreement are as follows:

(` in crore)


Lease rentals under cancellable leases and non-cancellable leases [net of ` 5.42 crore (March 31, 2016 ` 5.38 crore and April 1, 2015 ` 15.16 crore) cross charged to certain subsidiaries]

19.96 4.33 2.71

Obligations on non-cancellable leases:

Within one year - 0.01 0.18

Later than one year and not later than five years - - -

Later than five years - - -

II Contingencies

In the ordinary course of business, the Company faces claims and assertions by various parties. The Company assesses such claims and assertions and

monitors the legal environment on an ongoing basis with the assistance of external legal counsel, wherever necessary. The Company records a liability for

any claims where a potential loss is probable and capable of being estimated and discloses such matters in its financial statements, if material. For potential

losses that are considered possible, but not probable, the Company provides disclosure in the financial statements but does not record a liability in its accounts

unless the loss becomes probable.

The following is a description of claims and assertions where a potential loss is possible, but not probable. The Company believes that none of the contingencies

described below would have a material adverse effect on the Company’s financial condition, results of operations or cash flows.



(` in crore)

Particulars of guarantees As at


Corporate guarantees availed by the group Companies

(a) sanctioned 18,275.51 23,929.67 25,247.37

(b) outstanding 11,995.72 15,548.27 16,923.36

Bank guarantees

(a) sanctioned 910.21 917.21 300.00

(b) outstanding 882.23 890.07 190.98

Letter of comfort provided on behalf of group Companies to banks

(a) sanctioned 1,629.00 1,435.00 1,435.00

(b) outstanding 686.19 465.08 277.22

Litigations

The Company is involved in legal proceedings, both as plaintiff and as defendant. The Company belives the following claims to be of material nature.(` in crore)

Other disputes As at


Matters relating to indirect taxes under dispute 47.05 44.54 93.54

Matters relating to direct taxes under dispute1.2 154.55 154.55 5.83

Claims against the company not acknowledged as debts 9.40 17.49 53.02

Income Tax

1 The Company has ongoing disputes with income tax authorities relating to tax treatment of certain items. These mainly include disallowance of expenses,

tax treatment of certain expenses claimed by the Company as deductions and the computation of, or eligibility of the Company’s use of certain tax incentives or allowances.

Most of these disputes and/or dis-allowances, being repetitive in nature, have been raised by the income tax authorities consistently in most of the years.

2 Further, a search under Section 132 of the Income Tax Act, 1961 (‘IT Act’) was carried out at the premises of the Company by the Income Tax Authorities on October 11, 2012, followed by search closure visits on various dates thereafter during the year ended March 31, 2013 to check the compliance with the provisions of the IT Act. The Income Tax Department has subsequently sought certain information / clarifications. During the years ended March 31, 2015 and March 31, 2016, block assessments have been completed for certain years and the Company has received orders /demand amounting to ` 94.60 Crore under Section 143(3) r.w.s.153A of the IT Act from the Income Tax Authorities in respect to Assessment Years 2007-08 to 2013-14. The management of the Company has filed the appeals against the above orders and believes that these demands are not tenable and it has complied with all the applicable provisions of the IT Act with respect to its operations.

3 Refer Note 36(III)(6) in respect of future claims if any arising on account of the divestment of shareholding in ISG.

III Commitments

a. Capital commitments (` in crore)

Particulars As at


Estimated amount of contracts remaining to be executed on capital account and not provided for (net of advances)

111.92 - -

b. Other commitments

1 The Company has committed to provide financial assistance as tabulated below: (` in crore)

Nature of relationship Outstanding commitment for financial assistance


Subsidiaries 782.08 1,172.67 1,073.43

Joint Ventures / Associates 375.36 77.12 18.92

Total 1,157.44 1,249.79 1,092.35



2 The Company has extended comfort letters to provide continued financial support to certain subsidiaries/ joint venturs/ associates, to ensure that these

subsidiaries are able to meet their debts, committments (including committments towards investee entities) and liabilities as they fall due and they

continue as going concerns.

3 The Company has entered into agreements with the lenders of certain group companies wherein it has committed to hold directly or indirectly at all

times at least 51% of the equity share capital of the group companies and not to sell, transfer, assign, dispose, pledge or create any security interest

except pledge of shares to the respective lenders as covered in the respective agreements with the lenders.

4 Also refer note 5(12)

5 The Company has certain long term unquoted investments which have been pledged as security towards loan facilities sanctioned to the Company and

the investee Companies [refer note 5].

6 During the year ended March 31, 2014, the Company along with its subsidiaries entered into a definitive agreement (‘SPA’) with Malaysia Airports MSC

Sdn Bhd (‘Buyer’) for sale of 40% equity stake in their joint ventures, ISG , LGM. Pursuant to the SPA entered with the buyer, the Company along with

its subsidiaries had provided a guarantee of Euro 4.50 Crore towards tax claims, as specified in the SPA for a period till May 2019.

7 For commitment relating to FCCBs [refer note 16 (20)].

37. Disclosures on Financial instruments

This section gives an overview of the significance of financial instruments for the Company and provides additional information on balance sheet items that

contain financial instruments.

The details of significant accounting policies, including the criteria for recognition, the basis of measurement and the basis on which income and expenses

are recognised in respect of each class of financial asset, financial liability and equity instrument are disclosed in Note 2.1 (b) and 2.1 (n), to the financial

statements.

(a) Financial assets and liabilities

The following tables presents the carrying value and fair value of each category of financial assets and liabilities as at March 31, 2017, March 31, 2016 and

April 1, 2015.

As at March 31, 2017 (` in crore)

Particulars Fair value through

statement of profit or loss

Derivative instruments

not in hedging relationship

Amortised cost Total carrying value

Total fair value

Financial assets

(i) Investments (other than investments in subsidiaries, associates and joint ventures)

6.77 - - 6.77 6.77

(ii) Loans - - 2,325.95 2,325.95 2,325.95

(iii) Trade receivables - - 110.11 110.11 110.11

(iv) Cash and cash equivalents - - 31.47 31.47 31.47

(v) Bank balances other than cash and cash equivalent - - 13.59 13.59 13.59

(vi) Other financial assets - - 682.65 682.65 682.65

6.77 - 3,163.77 3,170.54 3,170.54

Financial liabilities

(i) Borrowings - - 5,967.76 5,967.76 5,967.76

(ii) Trade payables - - 162.48 162.48 162.48

(iii) Foreign exchange forward contracts - 1.57 - 1.57 1.57

(iv) Other financial liabilities - - 203.85 203.85 203.85

(v) Financial guarantee contracts 118.15 118.15 118.15

- 1.57 6,452.24 6,453.81 6,453.81



As at March 31, 2016 (` in crore)





Amortised costTotal carrying

valueTotal fair

value

Financial assets

(i) Investments (other than investments in subsidiaries, associates and joint venture)

11.01 - - 11.01 11.01

(ii) Loans - - 5,814.48 5,814.48 5,814.48





Total 11.01 - 7,138.32 7149.33 7149.33


(i) Borrowings - - 5,648.93 5,648.93 5,648.93


(iii) Foreign exchange forward contracts - 0.21 - 0.21 0.21

(iv) Other financial liabilities - - 283.53 283.53 283.53

(v) Financial guarantee contracts 93.56 93.56 93.56

Total - 0.21 6,125.99 6,126.20 6,126.20

As at April 1, 2015 (` in crore)





Amortised costTotal carrying

valueTotal fair

value

Financial assets

(i) Investments (other than investments in subsidiaries, associates and joint venture)

- - - - -

(ii) Loans - - 3,883.65 3,883.65 3,883.65





Total - - 5,428.31 5,428.31 5,428.31


(i) Borrowings - - 5,265.70 5,265.70 5,265.70


(iii) Other financial liabilities - - 262.61 262.61 262.61

(iv) Financial guarantee contracts 114.41 114.41 114.41

Total - - 5,797.11 5,797.11 5,797.11

(i) Investments in mutual funds and derivative instruments are mandatorily classified as fair value through statement of profit and loss.



(b) Fair value hierarchy

The following table provides an analysis of financial instruments that are measured subsequent to initial recognition at fair value, grouped into Level 1 to Level

3, as described below:

Quoted prices in an active market (Level 1): This level of hierarchy includes financial assets that are measured by reference to quoted prices (unadjusted) in

active markets for identical assets or liabilities. This category consists of investment in quoted equity shares, and mutual fund investments.

Valuation techniques with observable inputs (Level 2): This level of hierarchy includes financial assets and liabilities, measured using inputs other than

quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices).

Valuation techniques with significant unobservable inputs (Level 3): This level of hierarchy includes financial assets and liabilities measured using inputs that

are not based on observable market data (unobservable inputs). Fair values are determined in whole or in part, using a valuation model based on assumptions

that are neither supported by prices from observable current market transactions in the same instrument nor are they based on available market data.

(` in crore)

Particulars Fair value measurements at reporting date using

Total Level 1 Level 2 Level 3

March 31, 2017

Financial assets

Investment in mutual funds 6.77 6.77 - -


Foreign exchange forward contracts 1.57 - 1.57 -

March 31, 2016

Financial assets

Investment in mutual funds 11.01 11.01 - -


Foreign exchange forward contracts 0.21 - 0.21 -

April 1, 2015

Financial assets

Investment in mutual funds - - - -

(i) Short-term financial assets and liabilities are stated at carrying value which is approximately equal to their fair value.

(ii) Foreign exchange forward contracts are fair valued using market observable rates and published prices together with forecasted cash flow information

where applicable.

(iii) Management uses its best judgement in estimating the fair value of its financial instruments. However, there are inherent limitations

in any estimation technique. Therefore, for substantially all financial instruments, the fair value estimates presented above are not

necessarily indicative of the amounts that the Company could have realised or paid in sale transactions as of respective dates. As such,

fair value of financial instruments subsequent to the reporting dates may be different from the amounts reported at each reporting

date.

(iv) There have been no transfers between Level 1, Level 2 and Level 3 for the years ended March 31, 2017, March 31, 2016 and April 1, 2015.

(c) Financial risk management objectives and policies

In the course of its business, the Company is exposed primarily to fluctuations in foreign currency exchange rates, interest rates, equity prices, liquidity and

credit risk, which may adversely impact the fair value of its financial instruments. The Company has a risk management policy which not only covers the foreign

exchange risks but also other risks associated with the financial assets and liabilities such as interest rate risks and credit risks. The risk management policy is

approved by the Board of Directors. The risk management framework aims to:



(i) create a stable business planning environment by reducing the impact of currency and interest rate fluctuations on the Company’s business plan.

(ii) achieve greater predictability to earnings by determining the financial value of the expected earnings in advance.

Market risk

Market risk is the risk of any loss in future earnings, in realisable fair values or in future cash flows that may result from a change in the price of a financial

instrument. The value of a financial instrument may change as a result of changes in interest rates, foreign currency exchange rates, equity price fluctuations,

liquidity and other market changes. Future specific market movements cannot be normally predicted with reasonable accuracy.

(a) Market risk- Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The

Company’s exposure to the risk of changes in market interest rates relates primarily to the Company’s long-term debt obligations with floating interest rates.

The Company manages its interest rate risk by having a balanced portfolio of fixed and variable rate loans and borrowings.

Interest rate sensitivity

The following table demonstrates the sensitivity to a reasonably possible change in interest rates on that portion of loans and borrowings affected. With all

other variables held constant, the Company’s profit before tax is affected through the impact on floating rate borrowings, as follows:

(` in crore)

Particulars Increase in basis points Effect on profit before tax

March 31, 2017

USD +50 (9.84)

INR +50 (13.32)

March 31, 2016

USD +50 (10.02)

INR +50 (11.70)

The assumed movement in basis points for the interest rate sensitivity analysis is based on the currently observable market environment.

(b) Market risk- Foreign currency risk

Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes in foreign exchange rates. The

Company’s exposure to the risk of changes in foreign exchange rates relates primarily to the Company’s investing and financing activities. The Company’s

exposure to foreign currency changes from operating activities is not material.

At 31 March 2016 and 31 March 2017, the Company hedged its interest of $22.50 mn on FCCB. This foreign currency risk is hedged by using foreign currency

forward contracts.

Foreign currency sensitivity

The following tables demonstrate the sensitivity to a reasonably possible change in USD exchange rates, with all other variables held constant. The impact on

the Company’s profit before tax is due to changes in the fair value of monetary assets and liabilities. The Company’s exposure to foreign currency changes for

all other currencies is not material.



(` in crore)

Particulars Change in USD rate Effect on profit before tax

31-Mar-17 5% (86.95)

31-Mar-16 5% (90.81)

The sensitivity analysis has been based on the composition of the Company’s financial assets and liabilities at March 31, 2017 and March 31, 2016 excluding

trade payables, trade receivables, other non-derivative and derivative financial instruments not forming part of debt and which do not present a material

exposure. The period end balances are not necessarily representative of the average debt outstanding during the period.

Credit risk

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract, leading to a financial loss. Financial

instruments that are subject to credit risk and concentration thereof principally consist of trade receivables, loans receivables, investments, cash and cash

equivalents, derivatives and financial guarantees provided by the Company.

The carrying value of financial assets represents the maximum credit risk. The maximum exposure to credit risk was ` 12,987.98 crore, ` 16,193.31 crore,

` 15,873.18 crore, as at March 31, 2017, March 31, 2016 and April 1, 2015 respectively, being the total carrying value of trade receivables, balances with bank,

bank deposits, investments and other financial assets.

Customer credit risk is managed by each business unit subject to the Company’s established policy, procedures and control relating to customer credit risk

management. An impairment analysis is performed at each reporting date on an individual basis for major clients. The Company does not hold collateral as

security. Further, the top 5 customers of the Company in the EPC segment contributes to more than 90% of the receivables during the year ended March 31,

2017, March 31, 2016 and April 1, 2015.

With respect to Trade receivables/unbilled revenue, the Company has constituted the terms to review the receivables on periodic basis and to take necessary

mitigations, wherever required. The Company creates allowance for all unsecured receivables based on lifetime expected credit loss based on a provision

matrix. The provision matrix takes into account historical credit loss experience and is adjusted for forward looking information. The expected credit loss

allowance is based on the ageing of the receivables that are due and rates used in the provision matrix.

The following table summarises the changes in the loss allowance measured using ECL:

(` in crore)


Opening balance 20.03 8.91

Amount provided/ (reversed) during the year 8.98 11.12

Closing provision 29.01 20.03

Credit risk from balances with bank and financial institutions is managed by the Company’s treasury department in accordance with the Company’s policy.

Investments of surplus funds are made only with approved counterparties and within credit limits assigned to each counterparty. The limits are set to minimise

the concentration of risks and therefore mitigate financial loss through counterparty’s potential failure to make payments.

In respect of financial guarantees provided by the Company to banks and financial institutions, the maximum exposure which the Company is exposed to is

the maximum amount which the Company would have to pay if the guarantee is called upon. Based on the expectation at the end of the reporting period, the

Company considers that it is more likely than not that such an amount will not be payable under the guarantees provided.



Liquidity risk

Liquidity risk refers to the risk that the Company cannot meet its financial obligations. The objective of liquidity risk management is to maintain sufficient

liquidity and ensure that funds are available for use as per requirements. The Company has obtained fund and non-fund based working capital lines from

various banks. Furthermore, the Company has access to funds from debt markets through commercial paper programs, non-convertible debentures

and other debt instruments. The Company invests its surplus funds in bank fixed deposit and in mutual funds, which carry no or low market risk.

The Company monitors its risk of a shortage of funds on a regular basis. The Company’s objective is to maintain a balance between continuity of funding and

flexibility through the use of bank overdrafts, bank loans, debentures, preference shares, sale of assets and strategic partnership with investors, etc. The

Company assessed the concentration of risk with respect to refinancing its debt and concluded it to below.

The following table shows a maturity analysis of the anticipated cash flows including interest obligations for the Company’s financial liabilities on an

undiscounted basis, which therefore differ from both carrying value and fair value. Floating rate interest is estimated using the prevailing interest rate at the

end of the reporting period.

(` in crore)

Particulars 0-1 years 1 to 5 years > 5 years Total

March 31, 2017

Borrowings 908.89 2,483.62 2,676.18 6,068.69

Other financial liabilities 205.42 - - 205.42

Trade payables 162.48 - - 162.48

1,276.79 2,483.62 2,676.18 6,436.59

March 31, 2016

Borrowings 473.09 2,428.89 2,867.72 5,769.70



856.81 2,428.89 2,867.72 6,153.42

April 1, 2015

Borrowings (other than convertible preference shares) 908.28 2,328.04 1,037.93 4,274.25



1,325.28 2,328.04 1,037.93 4,691.25

(i) The above excludes any financial liabilities arising out of financial guarantee contract as detailed in note 36

Excessive risk concentration

Concentrations arise when a number of counterparties are engaged in similar business activities, or activities in the same geographical region, or

have economic features that would cause their ability to meet contractual obligations to be similarly affected by changes in economic, political or

other conditions. Concentrations indicate the relative sensitivity of the company's performance to developments affecting a particular industry.

In order to avoid excessive concentrations of risk, the Company's policies and procedures include specific guidelines to focus on the maintenance of a

diversified portfolio. Identified concentrations of credit risks are controlled and managed accordingly.



38. Capital management

The Company’s capital management is intended to create value for shareholders by facilitating the meeting of long term and short term goals of the Company.

The Company determines the amount of capital required on the basis of annual business plan coupled with long term and short term strategic investment

and expansion plans. The funding needs are met through equity, cash generated from operations and sale of certain asets, long term and short term bank

borrowings and issue of non-convertible debt securities and strategic partnership with investors.

For the purpose of the Company’s capital management, capital includes issued equity capital, convertible preference share, share premium and all other

equity reserves attributable to the equity holders of the Company.

The Company manages its capital structure and makes adjustments in light of changes in economic conditions and the requirements of the financial covenants.

To maintain or adjust the capital structure, the Company may adjust the dividend payment to shareholders, return capital to shareholders or issue new shares.

The Company monitors capital using a gearing ratio, which is total debt divided by total capital plus total debt. The Company’s policy is to keep the gearing

ratio at an optimum level to ensure that the debt related covenant are complied with.

(` in crore)

Particulars At March 31, 2017 At March 31, 2016 At April 1, 2015

Borrowings (refer note 16) 5,967.76 5,648.93 4,195.22

Total debts 5,967.76 5,648.93 4,195.22

Capital components

Equity share capital 603.59 603.59 436.13

Other equity 5,913.61 9,564.24 9,823.26

Convertible preference shares (refer note 16) - - 1,070.48

Total Capital 6,517.20 10,167.83 11,329.87

Capital and borrowings 12,484.96 15,816.76 15,525.09

Gearing ratio (%) 47.80% 35.71% 27.02%

In order to achieve this overall objective, the Company’s capital management, amongst other things, aims to ensure that it meets financial covenants attached

to the interest-bearing loans and borrowings that define capital structure requirements. Breaches in meeting the financial covenants would permit the bank

to immediately call loans and borrowings. There have been no material breaches in the financial covenants of any interest-bearing loans and borrowing in

the current period.

No changes were made in the objectives, policies or processes for managing capital during the years ended March 31, 2017 and March 31, 2016.



39. Disclosure as per Part A of Schedule V of securities (listing obligations and disclosures requirements) Regulations, 2015 as regards the loans and inter

corporate deposits granted to subsidiaries, fellow subsidiaries, joint ventures, associates and other companies in which the directors are interested.

(` in crore)

Name of the entity Amount outstanding as at Maximum amount outstanding during the year ended

Investment by loanee in the Shares

of the parent Company

March 31, 2017 March 31, 2016 April 1, 2015 March 31, 2017 March 31, 2016

Loans given/ debentures subscribed^

- GEL1 - 2,996.13 1,897.63 3,628.20 2,996.13 Nil

- GMRHL1 304.55 997.33 826.79 1,078.19 997.33 Nil

- GKSEZ1 76.41 68.36 44.35 76.41 68.36 Nil

- GCAPL1 39.35 39.35 - 39.35 39.35 Nil

- GSPHPL1 132.31 132.31 86.67 132.31 193.68 Nil

- DSPL1 - 64.56 454.55 107.96 454.55 Nil

- GIML1 229.05 186.96 - 355.01 186.96 Nil

- KSPL1 1,341.28 1,145.35 429.03 1,552.53 1,145.35 Nil

- GGAL1 83.88 - - 4,321.19 - Nil

- GAPL1 - 32.50 10.00 32.50 32.50 Nil

- GBPSPL1 18.95 18.95 2.89 18.95 33.95 Nil

- RSSL1 - 24.00 - 24.00 24.00 Nil

- GEL2 - 861.83 960.00 867.50 960.00 Nil

- GKSEZ2 96.25 96.25 96.25 96.25 96.25 Nil

- GCAPL2 - - 11.00 - 11.00 Nil

- GSPHPL2 473.50 386.56 109.52 473.50 386.56 Nil

- DPPL2 0.75 0.65 0.57 0.75 0.65 Nil

- GAPL2 - 98.65 98.65 98.65 98.65 Nil

1. Loans given

2. Debentures subscribed

3. The above loans and inter-corporate deposits have been given for business purpose.

4. There are no outstanding debts due from directors or other officers of the Company.

^ The above balances does not include interest accrued thereon and equity component of loans / debentures given at concessional rates.

Name of the entity Amount outstanding as at Maximum amount outstanding during the year

March 31, 2017 March 31, 2016 April 1, 2015 March 31, 2017 March 31, 2016

Investment in share/ debenture application money

- GMCAC - 10.67 - 10.67

40. First Time Adoption of Ind AS

These standalone financial statements, for the year ended March 31, 2017, are the first, the Company have prepared in accordance with Ind AS. For the periods

upto March 31, 2016, the Company prepared its financial statements in accordance with accounting standards notified under section 133 of the Companies Act

2013, read together with paragraph 7 of the Companies (Accounts) Rules, 2014 and Amendment thereof ('Indian GAAP' or 'previous GAAP').



Accordingly, the Company has prepared standalone financial statements which comply with Ind AS applicable for the year ended March 31, 2017, together with

the comparative period data as at and for the year ended March 31, 2016, as described in the summary of significant accounting policies. In preparing these

financial statements, the Company’s opening balance sheet was prepared as at April 1, 2015, the Company’s date of transition to Ind AS. This note explains the

principal adjustments made by the Company in restating its Indian GAAP financial statements, including the balance sheet as at April 1, 2015 and the financial

statements as at and for the year ended March 31, 2016.

Exemptions applied:-

Ind AS 101 allows first-time adopters certain exemptions from the retrospective application of certain requirements under Ind AS. The Company has applied

the following material exemptions:

Exemptions:

Estimates

The estimates as at April 1, 2015 and as at March 31, 2016 are consistent with those made for the same dates in accordance with Indian GAAP apart

from the Impairment of financial assets based on Expected Credit Loss (ECL) model where application of Indian GAAP did not require estimation.

The estimates used by the Company to present these amounts in accordance with Ind AS reflect conditions as at April 1, 2015 the date of transition to Ind AS,

and as of March 31, 2016.

De-recognition of financial assets and liabilities

The Company has elected to apply the de-recognition provisions of Ind AS 109 prospectively from the date of transition to Ind AS.

Classification and measurement of Financial assets

The Company has classified the financial assets in accordance with Ind AS 109 on the basis of facts and circumstances that exist at the date of transition to

Ind AS.

Impairment of financial assets: (Trade receivables and other financial assets)

At the date of transition to Ind AS, the Company has determined that there will be significant increase in credit risk since the initial recognition of a financial

instrument which would require undue cost or effort. The Company has recognised a loss allowance at an amount equal to lifetime expected credit losses at

each reporting date until that financial instrument is derecognised (unless that financial instrument is low credit risk at a reporting date).

Deemed cost-Previous GAAP carrying amount: (PPE and Intangible Assets)

The Company has elected to avail exemption under Ind AS 101 to use India GAAP carrying value as deemed cost at the date of transition for all items of

property, plant and equipment and intangible assets as per the balance sheet prepared in accordance with previous GAAP.

Investments in subsidiaries, joint ventures and associates

In separate financial statements, a first-time adopter that subsequently measures an investment in a subsidiary, joint ventures or associate at cost, may

measure such investment at cost (determined in accordance with Ind AS 27) or deemed cost (fair value or previous GAAP carrying amount) in its separate

opening Ind AS balance sheet.

Selection of fair value or previous GAAP carrying amount for determining deemed cost can be done for each subsidiary, associate and joint venture.

The Company has elected to apply previous GAAP carrying amount of its investment in subsidiaries, associates and joint venture except for investment in

equity shares of one of its subsidiary where in it has selected fair value as at April 1, 2015 as deemed cost on the date of transition to Ind AS.

Long Term Foreign Currency Monetary Items: (Long term foreign currency borrowings)

As per Paragraph D13AA of Ind AS 101 a first-time adopter may continue the policy adopted for accounting for exchange differences arising from translation

of long-term foreign currency monetary items recognised in the financial statements for the period ending immediately before the beginning of the first Ind

AS financial reporting period as per the previous GAAP.

The Company has elected to continue to the aforementioned accounting as per the previous GAAP.



Fair value measurement of financial assets or financial liabilities

In accordance with paragraph D20 of Ind AS 101, the Company has applied day one gain or loss provisions prospectively to transactions occurring on or after

the date of transition to Ind AS.

Reconciliation of total equity between previous GAAP and Ind AS.

(` in crore)

Particulars Notes March 31, 2016 April 1, 2015

Equity as reported under previous GAAP 9,421.85 10,487.68

Equity component of compound financial instruments 40(1) 133.94 -

Debt component of compound financial instruments 40(1) - (1,002.73)

Impact on accounting of treasury shares on consolidation of staff welfare trust 40(10) (101.54) (101.54)

Impact of reversal of foreign currency convertible bonds issue expenses adjusted against securities premium account earlier

40(2) 39.44 -

Effect of measuring investments at fair value 40(11) 734.70 734.70

Impact of finance income on preference shares accounted as financial asset 40(8) 515.53 317.49

Recognition of finance income on interest free loans/ debentures, loans/ debentures at concessional rate of interest and guarantees given to subsidiaries, joint ventures and associates

40(7), (8), (9) 293.31 180.05

Impact of borrowings recognized using effective rate of interest 40(2) 19.49 16.65

Impact of convertible preference share accounted as financial liability 40(1) (202.91) (136.72)

Impairment of financial assets 40(7), (8), (9) (736.26) (297.46)

Expected credit loss on financial assets 40(12) (20.03) (8.91)

Tax adjustments 40(6), (1) 68.97 68.97

Others 40(3),(4) 1.34 1.21

Equity as per Ind AS 10,167.83 10,259.39

Total Comprehensive Income / (Loss) reconciliation for the year ended March 31, 2016(` in crore)

Particulars Notes March 31, 2016

Profit / (loss) after tax under previous Indian GAAP (1,518.90)

Add / (Less)

Impact of finance income on preference shares accounted as financial asset 40(8) 198.04

Recognition of finance income on interest free loans/ debentures, loans/ debentures at concessional rate of interest and guarantees given to subsidiaries, joint ventures and associates

40(7), (8), (9) 113.26

Impact of preference shares accounted as financial liability 40(1) (66.19)

Impairment of financial assets 40(7), (8), (9) (438.80)

Others 40 (2), (12), (3), (4), (7.65)

Profit/ (loss) after tax as per Ind AS (1,720.24)

Other comprehensive income / (expenses) (net of tax) 40(5) (0.51)

Total Comprehensive Income / (Loss) for the year under Ind AS (1,720.75)

Notes to the reconciliations between previous GAAP and Ind AS



1. Convertible preference shares

The Company has issues convertible redeemable preference shares. Under Indian GAAP, the preference shares were classified as equity and dividend payable

thereon was treated as distribution of profit.

Under Ind AS, convertible preference shares are separated into liability and equity components based on the terms of the contract. Interest on liability

component is recognised using the effective interest method.

2. Borrowings

Under Indian GAAP, transaction costs incurred in connection with borrowings are amortised upfront and charged to profit or loss for the period. In case of

debentures/bonds, these transaction costs were adjusted with securities premium as permitted under Companies Act, 2013 which has been now reversed with

a corresponding adjustment to borrowings.

In accordance with Ind AS 109 “Financial Instruments”, premium payable on redemption, discount on issue, transaction costs on issue of bonds and debentures

are required to be considered as effective finance costs and recognised in the statement of profit and loss using the effective interest rate.

Consequently, premium on redemption/discounts on issue and transaction costs recognised directly in equity or amortised using a different approach under

the Previous GAAP has been reversed and are now recognised through the statement of profit and loss using the effective interest rate.

3. Fair valuation of investments in mutual fund

Under the previous GAAP, investments in mutual fund were classified as current investment based on the intended holding period and realisability. Current

investments were carried at lower of cost and fair value. In accordance with Ind AS 109 “Financial Instruments”, investments in mutual funds are recognised

at fair value through the statement of profit and loss at each reporting period.

4. Foreign currency swap not designated as hedging instruments

Under the previous GAAP, the Company has considered both the critical terms of the Foreign currency swap and those of the repayment of interest on

FCCB as same. Based on the internal assessment carried out by the management, the net impact of the marked to market valuation of the foregin currency

swap , net of gain/loss on the underlying loan, is not expected to be material and accordingly no adjustment has been made in the financial statements.

In accordance with Ind AS 109 “Financial Instruments”, all derivative financial instruments are recognised at fair value as at each reporting date through the

statement of profit and loss.

5. Re-measurements of post-employment benefit plans

(a) In accordance with Ind AS 19, “Employee Benefits” re-measurement gains and losses on post employment defined benefit plans are recognised in other

comprehensive income as compared to the statement of profit and loss under the Previous GAAP.

(b) Interest expense/income on the net defined benefit liability/ asset is recognised in the statement of profit and loss using the discount rate used for

defined benefit obligation as compared to the expected rate used for recognising income from plan assets under the Previous GAAP.

6. Deferred tax

Indian GAAP requires deferred tax accounting using the income statement approach, which focuses on differences between taxable profits and accounting

profits for the period. Ind AS 12 requires entities to account for deferred taxes using the balance sheet approach, which focuses on temporary differences

between the carrying amount of an asset or liability in the balance sheet and its tax base. The application of Ind AS 12 approach has resulted in recognition of

deferred tax on new temporary differences which was not required under Indian GAAP.

Accordingly, under Ind AS, there are transitional adjustments leading to temporary differences. According to the accounting policies, the Company has to

account for such differences. Deferred tax adjustments are recognised in correlation to the underlying transaction either in retained earnings on transition or

a separate component of equity depending on the recognition of the instrument.

7. Loan to related parties

Under previous GAAP, loans to related parties were recognised at their face/transaction values. The company had given interest free loans to its subsidiary/

joint venture/ associate companies in earlier years. Considering that the loans given were interest free, they have been fair valued and the differential amount

of the carrying value and fair value has been recognised as equity component(i.e. additional investment in subsidiary) as per guidance under Ind AS 32. Also



refer note 29 for details regarding impairment.

8. Investment in preference shares and debentures

Under previous GAAP, the Company had made investment in preference shares and debentures of related parties which were recognised at their face/

transaction values. The Company had given interest/premium free investments to its subsidiary/ joint venture/ associate companies in earlier years.

Considering that these financial instruments given were interest/premium free and did not meet the fixed to fixed criteria, they have been fair valued and the

differential amount of the carrying value and fair value has been recognised as equity component (i.e. additional investment in subsidiary) as per guidance

under Ind AS 32. Also refer note 29 for details regarding impairment.

9. Financial guarantee given on behalf of its Subsidiaries, Associates and Joint Ventures

Under previous GAAP, financial guarantees given by the company free of cost for borrowings taken by its subsidiaries, associates and joint ventures were

disclosed as contingent liabilities.

Financial guarantee contracts have been recognised at fair value at the inception in accordance with Ind AS 109 along with accrued guarantee charges. Also

refer note 29 for details regarding impairment.

10. Treasury shares

The Company has created a Staff welfare Trust (‘SWT’) for providing staff welfare to its employees. The Company treats SWT as its extension and shares held

by SWT are treated as treasury shares. Own equity instruments that are reacquired (treasury shares) are recognised at cost and deducted from equity.

11. Deemed Cost exemption for investment in subsidiaries

GMR SEZ and Port Holding Private Limited, (‘GSPHPL’), a subsidiary of the Company has invested in certain step down subsidiaries which holds investment

properties. The Company has considered fair value of its investments in GSPHPL as deemed cost under Ind AS 101 ‘First-time Adoption of Indian Accounting

Standards’ and accordingly, based on the valuation assessment done by an external expert as per the requirements of Ind AS, the Company has adjusted

` 734.70 crore to the carrying value of its investments in GSPHPL reported under the previous GAAP in its opening balance sheet as at April 1, 2015 prepared

under Ind AS with a consequent increase in Other Equity.

12. Expected credit loss

The provision is made against trade receivables based on “expected credit loss” model as per Ind AS 109. Under I-GAAP the provision was made when the

receivable turned doubtful based on the assessment on case to case basis.

13. Other comprehensive income

Under Indian GAAP, the Company has not presented other comprehensive income (OCI) separately. Hence, it has reconciled Indian GAAP profit or loss to Ind

AS profit or loss. Further, Indian GAAP profit or loss is reconciled to total comprehensive income as per Ind AS.

14. Statement of cash flows

The transition from Indian GAAP to Ind AS has not had a material impact on the statement of cash flows.

15. Previous year figures have been regrouped

The figures of the previous periods have been regrouped/reclassified, where necessary, to conform with the current year's classification.



41. Interest in significant investment in subsidiaries, joint ventures and associates as per Ind AS- 27

S.No.

Name of the entity Relationship Ownership interest Date of Incor-poration

Country of Incorpo-ration/ Place of business

March 31, 2017

March 31, 2016 April 01, 2015 March 31, 2017

March 31, 2016

April 01, 2015

1 GEL Joint venture Subsidiary Subsidiary 14.89% 31.68% 31.68% 10-Oct-96 India

2 GBHPL Joint venture Subsidiary Subsidiary 0.98% 0.98% 0.98% 17-Feb-06 India

3 GEML Joint venture Subsidiary Subsidiary 5.00% 5.00% 5.00% 27-Feb-08 Mauritius

4 GETL Subsidiary Subsidiary Subsidiary 67.86% 67.86% 67.86% 29-Jan-08 India

5 GGAL Subsidiary Subsidiary Subsidiary 97.62% 50.01% 50.01% 3-Dec-10 India

6 GPIL Subsidiary Subsidiary Subsidiary 49.98% 49.98% 49.98% 25-Feb-11 India

7 GACEPL Subsidiary Subsidiary Subsidiary 48.35% 48.35% 49.65% 14-Jul-05 India

8 GPEL Subsidiary Subsidiary Subsidiary 1.50% 1.50% 1.50% 18-Oct-05 India

9 JEPL NA Associate Associate NA 0.94% 0.94% 18-Oct-05 India

10 UEPL NA Associate Associate NA 1.13% 1.13% 20-Mar-06 India

11 GMRHL Subsidiary Subsidiary Subsidiary 100.00% 100.00% 100.00% 3-Feb-06 India

12 GHVEPL Subsidiary Subsidiary Subsidiary 41.00% 41.00% 41.00% 11-Jun-09 India

13 GCORRPL Subsidiary Subsidiary Subsidiary 41.00% 41.00% 41.00% 21-Jul-09 India

14 GOSEHHHPL Joint venture Joint venture Joint venture 26.00% 26.00% 26.00% 05-Feb-10 India

15 GKUAEL Subsidiary Subsidiary Subsidiary 3.61% 3.61% 3.61% 24-Nov-11 India

16 GFIAL Subsidiary Subsidiary Subsidiary 86.49% 86.49% 86.49% 12-Jan-05 India

17 GASL Subsidiary Subsidiary Subsidiary 100.00% 0.00% 0.00% 18-Jul-07 India

18 DIAL (200 Equity shares ( March 31, 2016- 200 Equity shares and April 1, 2015- 200 Equity shares)

Subsidiary Subsidiary Subsidiary 0.00% 0.00% 0.00% 1-Mar-06 India

19 GIDL Subsidiary NA NA 99.99% NA NA 28-Mar-17 India

20 GAL Subsidiary Subsidiary Subsidiary 100.00% 100.00% 100.00% 6-Feb-92 India

21 GAPL Subsidiary Subsidiary Subsidiary 100.00% 100.00% 100.00% 22-Dec-06 India

22 GKSEZ Subsidiary Subsidiary Subsidiary 100.00% 100.00% 100.00% 24-Sep-07 India

23 GSPHPL Subsidiary Subsidiary Subsidiary 100.00% 100.00% 100.00% 28-Mar-08 India

24 GCAPL Subsidiary Subsidiary Subsidiary 100.00% 100.00% 100.00% 22-Dec-06 India

25 DSPL Subsidiary Subsidiary Subsidiary 100.00% 100.00% 100.00% 24-Jul-07 India

26 GIML Subsidiary Subsidiary Subsidiary 100.00% 100.00% 100.00% 18-Dec-07 Mauritius

27 GIOL Subsidiary Subsidiary Subsidiary 100.00% 100.00% 100.00% 23-Jun-10 Mauritius

28 GMCAC Joint venture Joint venture Joint venture 1.74% 1.74% 0.21% 13-Jan-14 Philippines

29 GCRPL Subsidiary Subsidiary Subsidiary 0.00% 5.00% 5.00% 4-Jun-10 Singapore

30 GHIAL Subsidiary Subsidiary Subsidiary 0.00% 0.00% 0.00% 17-Dec-02 India

31 GMIAL Subsidiary Subsidiary Subsidiary 0.00% 0.00% 0.00% 9-Aug-10 Maldives

Note:-1. Disclosure of financial data as per Ind AS – 112 ‘Disclosure of Interests in Other Entities’ has been done based on the audited financial statements for the

respective years.2. The above disclosure made do not include step down subsidiaries, joint ventures and associates and are with respect to subsidiaries, joint ventures and

associates existing as at March 31, 2017.



42. Standards issued but not yet effective

In March 2017, the Ministry of Corporate Affairs issued the Companies (Indian Accounting Standards) (Amendments) Rules, 2017, notifying amendments to Ind AS 7,‘Statement of cash flows’. These amendments are in accordance with the recent amendments made by International Accounting Standards Board (IASB) to IAS 7, ‘Statement of cash flows’. The amendments are applicable to the Company from 1 April 2017.

Amendment to Ind AS 7:

The amendment to Ind AS 7 requires the entities to provide disclosures that enable users of financial statements to evaluate changes in liabilities arising from financing activities, including both changes arising from cash flows and non-cash changes, suggesting inclusion of a reconciliation between the opening and closing balances in the balance sheet for liabilities arising from financing activities, to meet the disclosure requirement. The Company is currently evaluating the requirements of the amendment and has not yet determined the impact on the standalone financial statements.

43. Hedging activities and derivatives

Derivatives not designated as hedging instruments

The Company uses foreign exchange forward contracts to manage some of its transaction exposures. The foreign exchange forward contracts are not designated as cash flow hedges and are entered into for periods consistent with foreign currency exposure of the underlying transactions, generally for a period of one year.

(` in Crore)


Fair value of foreign currency forward contracts not designated as hedging instruments 1.57 0.21 -

44. Disclosure in terms of Ind AS 11 - Construction contracts (` in Crore)

Particulars March 31, 2017 March 31, 2016 March 31, 2015

Contract revenue recognised during the year 392.77 178.01 164.89

Aggregate cost incurred and recognised profits (less recognised losses) up to the reporting date for contracts in progress

2,328.45 1,990.89 2,306.71

Amount of customer advances outstanding 389.47 272.27 76.90

Retention money due from customers for contracts in progress 12.38 4.69 49.87

Gross amount due from customers for contract works as an asset (unbilled portion) (net of provision for doubtful debt receivable)

323.51 151.32 94.44

Gross amount due to customers for contract works as a liability - - -

45. The Company is in the process of conducting a transfer pricing study as required by the transfer pricing regulations under the IT Act (‘regulations’) to

determine whether the transactions entered during the year ended March 31, 2017, with the associated enterprises were undertaken at “arm’s length

price”. The management confirms that all the transactions with associate enterprises are undertaken at negotiated prices on usual commercial terms

and is confident that the aforesaid regulations will not have any impact on the financial statements, particularly on the amount of tax expense and that

of provision for taxation.

46. Certain amounts (currency value or percentages) shown in the various tables and paragraphs included in the standalone financial statements have been

rounded off or truncated as deemed appropriate by the management of the Company.

47. The comparatives given in the standalone financial statements have been complied after making necessary Ind AS adjustments to the respective audited

financial statements under previous GAAP to give a true and fair view in accordance with Ind AS.

As per our report of even dateFor S. R. Batliboi & Associates LLP For and on behalf of the Board of Directors of ICAI firm registration number: 101049W / E300004 GMR Infrastructure LimitedChartered Accountants

per Sandeep Karnani G M Rao Grandhi Kiran KumarPartner Executive Chairman Managing DirectorMembership number: 061207 DIN: 00574243 DIN: 00061669

Madhva Bhimacharya Terdal Adiseshavataram CherukupalliGroup CFO Company Secretary

Place: New Delhi Place: New DelhiDate: June 01, 2017 Date: June 01, 2017

otes to te stanalone nanal stateents or te ear ene ar 1 2017

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